This is a market that the Research Team have been monitoring closely over the past few weeks, and for good reason.
The following echoes thoughts from previous research (italics)
The monthly timeframe—entrenched within a longer-term uptrend—is now eyeing a run to the 4,607 top printed in July, which shares chart space near weekly resistance at 4,595. Technically speaking, the weekly timeframe is still trending lower, but this could change following a higher low and subsequent higher high.
As a note, the Relative Strength Index (RSI) is now in positive territory (> 50.00) on the monthly and weekly timeframes (positive momentum).
Moving across to the daily timeframe, price action helped reaffirm the current bullish presence by rupturing resistance at 4,473 last week (now marked support) and adding +2.2%. Overhead, there’s some wood to chop through at the September top from 4,541, with subsequent buying exposing daily resistance at 4,578 (set just south of the weekly resistance mentioned above at 4,595).
This is where it gets technically interesting. If you drill down to the H1 timeframe, a short-term support area has formed at 4,487/4,495, just above the daily timeframe’s support level at 4,473. This shows that before heading higher this week (assuming bulls remain in command), we might see H1 flow dip through its support (taking out any short-term sell-stops) to test daily support (possible bear trap), a move allowing additional buyers into the market off a higher timeframe base.
The following echoes thoughts from previous research (italics)
The monthly timeframe—entrenched within a longer-term uptrend—is now eyeing a run to the 4,607 top printed in July, which shares chart space near weekly resistance at 4,595. Technically speaking, the weekly timeframe is still trending lower, but this could change following a higher low and subsequent higher high.
As a note, the Relative Strength Index (RSI) is now in positive territory (> 50.00) on the monthly and weekly timeframes (positive momentum).
Moving across to the daily timeframe, price action helped reaffirm the current bullish presence by rupturing resistance at 4,473 last week (now marked support) and adding +2.2%. Overhead, there’s some wood to chop through at the September top from 4,541, with subsequent buying exposing daily resistance at 4,578 (set just south of the weekly resistance mentioned above at 4,595).
This is where it gets technically interesting. If you drill down to the H1 timeframe, a short-term support area has formed at 4,487/4,495, just above the daily timeframe’s support level at 4,473. This shows that before heading higher this week (assuming bulls remain in command), we might see H1 flow dip through its support (taking out any short-term sell-stops) to test daily support (possible bear trap), a move allowing additional buyers into the market off a higher timeframe base.