monthly & weekly chart

Thought I’d start a new thread for charts and I offer the following:

First chart shows the monthly downtrend still clearly in place and yet to be broken. Price has come up to meet the TL, but it needs to find a lot of new buying at these levels to push through it and in my view the report today isn’t going to inspire that. Expecting a reversal.

Second chart is the Weekly. Really interesting structure between the two recent counter-trends. 9-bars is a common duration for them and the 1st one occurred from 5th July and the 2nd current one from 20th Dec. Look at the final bar in each sequence and their similar shape and both retraced to the 61.8% fib level of the prior range.

I’ve drawn two sets of parallel lines of equal length to box these two counter-trends which is quite an intriguing structure in the chart. I was actually waiting for the price to touch the right corner of the box at just over $12 this week to finish the move, but the CR rumour on Wednesday and daily reversal bar stopped it short. This suggests there were a lot of traders watching this with trigger fingers waiting to sell and jumped a bit early ahead of the result.

Just as for the monthly chart, the weekly reversal won’t be confirmed until the next down bar occurs, but looking very much like the run is over for the moment and will be a good pullback from here, either to the $9.00 level at least or will continue down beyond prior lows.