Hey folks,
Taking a look at the US100 index we can see a few trend lines extending from the September 2020 correction.
We can see that the price dropped from the upper most trend line 3 times prior to the current attempt to break above.
Currently, the price is finding support from the mid trend line extending from June 2021. Now, the measurement from all-time-highs to the current low is ~7.35%.
A couple of things can happen from this point.
1) We continue to see support at the mid trend line and the price moves higher from here.
2) We see further downside from here to find support at the lowest trend line.
If the later is true, the measurement from the peak to the bottom trend line would be ~10.35%.
I think there is a high probability of point 1 happening due to the confluence of support from the trend line and the price level of 15701.8.
However, if the price does break below the mid trend line we could see a wick down to 14904.8.
Taking a look at the US100 index we can see a few trend lines extending from the September 2020 correction.
We can see that the price dropped from the upper most trend line 3 times prior to the current attempt to break above.
Currently, the price is finding support from the mid trend line extending from June 2021. Now, the measurement from all-time-highs to the current low is ~7.35%.
A couple of things can happen from this point.
1) We continue to see support at the mid trend line and the price moves higher from here.
2) We see further downside from here to find support at the lowest trend line.
If the later is true, the measurement from the peak to the bottom trend line would be ~10.35%.
I think there is a high probability of point 1 happening due to the confluence of support from the trend line and the price level of 15701.8.
However, if the price does break below the mid trend line we could see a wick down to 14904.8.