Bulls and bears getting frustrated by this sideways action, I know I am. If we would just know upfront when price falls a sleep like this, than we could get some extra sleep as well :) A few days ago i made a perfect call by going long at 6460 (average price) when we broke that flag/triangle/pennant/whatever on the downside. I was watching the price action very closely and my gut told me there were some big buyers there and in a split second i decided to go long. Was a risky trade, no risk no reward :). My target was 7700 and everything was looking just perfect. I closed half my position at 7330 (because of that fractal analysis of mine), because i thought just in case, lets lock in some profit and reduce risk. I wanted to let the rest ride to at least 7700 but maybe even higher but in secret i was going for 8K levels (shhhh don't tell anyone). I saw that small H&S and the bigger one getting formed at the same time, But I thought if this market is really strong, the H&S fails and it would accelerate up, just like it did around the 6800 during that rally, which i posted real time. Anyway, we got our confirmation very soon, the market was not ready for this move up. Because it just kept dropping. The first signal was that fake breakout of the bull flag at 7400 to 7500. Thing now is, we are still above the 6400 low, even though the market has shown so much weakness. So my guess is, levels between 6400/7700 is one big accumulation phase. This theory fails if we drop below the green area (6400) give or take 100 points (it's never exact science).
Good luck trading and don't forget to upvote, keep me motivated to keep doing this.
This information is not a recommendation to buy or sell. It is to be used for educational purposes only.