Only the Charts, page-32

There are a lot of common themes occurring right now that align with a C&H pattern.

Length of time can be intraday, daily, weekly, monthly, or over years. Dilution doesn’t play into it but resistance markers do. Current resistance is $1.50 to $1.59.

Handle is often a 20% to 50% retrace. Our handle here is a 25% retrace which is in between two fib zones. Handle is commonly a curve, pennant, flag. Ours is looking like a curve.

As a fractal with human psychology at play between buyers and sellers, we are surely experiencing that right now with as many bears as bulls at play. Short man shows an increase in shorts looking for $1 to $1.10, while bulls are holding longs comfortably and likely not selling into stronger hands.

The key pivot point and true test will be when ZIP attempts to break the $1.5 to $1.59 resistance. Bears will call a double too while Bulls will wait for a break out. Considering this is a two year cup, there’s a good chance this resistance could take weeks to break or hold.

Interesting times.