Bounce leaves some hopium left in the bag...

In my last "ideas" post I said the only higher-time-frame structure left was a giant descending triangle that would lead us back to under $1k by late next year, and that only a massive bounce would save us. Well, we've indeed had a very nice bounce at the huge $4K support zone, a bounce just big enough to leave some hope that this large symmetrical triangle formation could still be in play. If we can close this week above the 200 MA (black line) then I believe a green leg to test resistance at $6.5K would be in store for next week. That would also coincide with the Senate passing the Coronavirus support bill (probably by Wednesday). It's some hopium, for sure. But I do think it's valid. Let's see how the weekly closes.

Commentaire:

Just realized I drew the bottom line of the triangle a little off. Connecting it correctly to the first touchpoint means our current support is at around 5150.