Bulls see a failed bear breakout of a bear channel and ultimately expect a test bear trend line (top of the bear channel) which would be around the March 31 high.
Bulls also want a bull breakout of the 8-bar bear flag and a measured move up (purple line) of the bear flag projecting up to 1.0812 and the April 25 high.
The 6-bar selloff that started on April 21 is also likely an exhaustive bear breakout. This means the odds favor the market reaching the April 21 high.
Bears hope that the April 21 bear breakout will lead to a measuring gap and several legs down, reaching the 2017 lows.
Overall, the odds are the market will soon begin to go sideways to up, or the bulls will get an upside breakout of the bull flag.
Bulls hope today is an inside bar closing on or near its high and that the entry bar will be a strong breakout above the May 5 neckline of the double bottom (bears see it as a bear flag) that will lead to a measured move up.
Tags
LEGAL: This website is operated by Promax Trading Limited Registration No: LL18424 | NFA: 0563058
Registered Address: Lot No. 20, Level 1, Lazenda Commercial Center Phase 3, Jalan OKK Abdullah, 87000 Federal Territory of Labuan, Malaysia Operational Address: Office No 648, 6th Floor, Business Village, Block A Dubai, UAE Contact : +971-428-51729
Risk Warning:Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange, you should carefully consider your investment objectives, level of experience, and risk appetite. There is a possibility that you may sustain a loss of some or all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Regional Restrictions: We do not offer our services to residents of certain jurisdictions such as Canada, China, Federal Territory Labuan Malaysia, Romania, Singapore, the United States and to jurisdictions on the FATF and EU/UN sanctions list.
