Continuing from previous post... It is safe to assume the area of 49-50 has strong support due to multiple down days bouncing back off those price levels. We finally broke through resistance at 53-54 levels but risk a gap-fill. Any dips below 53 should be momentary and needs to close above to continue upwards.
Using fib-extensions from Mar 6 and Mar 28, I've determined the next price level we will need to break is 58-59 before moving up to 63-64. The fib-extension beginning Mar 6 did predict the 1.618 around 58 so there should be a pull back and consolidation for the next week (with no news based influence). Maybe this will be the "gap-fill"...
Using fib-extensions from Mar 6 and Mar 28, I've determined the next price level we will need to break is 58-59 before moving up to 63-64. The fib-extension beginning Mar 6 did predict the 1.618 around 58 so there should be a pull back and consolidation for the next week (with no news based influence). Maybe this will be the "gap-fill"...
Kommentera:
Using fib retracement to the lows of March 6, the lows of today hit the .618 mark before bouncing up. Hopefully the close today will be within the support region - if it closes above 54 we may have a run next week to regain the 59-60 position. Otherwise a weak close below 54 may indicate sideways trading in this area. Below 53 closing might indicate a reversal and test 49.
Happy trading.