A 40% correction for Chainlink to $8?

20 juin 2024

On the above weekly chart price action finds resistance at market structure, which was first confirmed on March 2022. The recent confirmation of resistance follows a lower high print.

A Head and Shoulders print is now evident. This print occurs as RSI resistance remains active. It is highly likely the Head & Shoulders neckline fails.

A confirmation of the Head and Shoulder print forecasts a further 40% correction, which is exactly at past resistance.

Price action will arrive at $8 should the correction complete. In the big picture (below), the downtrend channel must show support on the mid line. Otherwise price action continues to correct until the $3 area over the next 1 to 2 years.

Ww


The big picture

2 août 2024

Transaction en cours

5 août 2024

Trade fermée: cible de profit atteinte

6 août 2024

Note

There are a few messages implying with the close of this idea that price action is now long. That is not supported by the chart.

In actual fact this idea was part of a larger bearish idea, should the $8 target area strike. It did.

Now we have price action forecast of $2