What's Going On Traders?
The market's been a wild ride lately, hasn't it? We got rocked with a deep 8,250.17 retracement, one of the biggest pullbacks we've seen in months. Just when the bears thought they were taking over, the bulls came charging back with a strong 7,135.99 recovery.
Momentum looked great for a second there, but then wham - a 780.00 pullback on that recovery. Price is basically consolidating now, stuck in a tight range around that key consolidation line I've been watching.
Make or break time is coming up soon in my opinion. If the bulls can muster enough strength to punch through that consolidation resistance, we could easily see a powerful move back above the 65K level. I'm talking about strong upside momentum that just keeps on giving.
But on the flip side, if we can't break up and over that line, implications are bearish as hell. Failure to clear such an important hurdle likely means the path of least resistance is down. In that case, I wouldn't be surprised to see a bearish breakdown straight down to retest 50K before any bullish traders get a chance to recover.
The clock is ticking - this whole setup should be resolved one way or the other before the weekend is over. I'm eyeing late Saturday or early Sunday as a potential flashpoint for a big move in either direction once we get the consolidation break up or down. Until Sunday Traders!
