Technically speaking, we are in consolidation. I will be looking for a break; either to the upside, or downside… Lol, shocking news, right!
If we move to the upside, I’m looking for 3588 to break. If we move to the downside, I’m looking for 3542.75 to break. I don’t get too caught up in the decimals, so a break of 3542 flat is really what I’m looking for.
The two targets I have shown on the chart are where I think it will go when one of the two above mentioned “break levels” actually breaks.
I typically see a reaction once price gets to my zones and my targets. This is why my areas, to me, are important to keep an eye on. Price usually bounces at them.
Keep in mind: this is a larger time frame chart, so it might take a little while to get to the targets I have shown. However, one of them will hit. It’s just a matter of when.
What I will do throughout today and tomorrow (and any other day that I need to), is drop down to lower time frames for clues. In specific, the 15 minute chart. Once I have a direction there, I’ll trade on the 1 minute chart.
But, on my trusty higher time frame, we are in consolidation. Usually I can tell which way it is likely to go and I will put just one target on the chart. However, consolidation changes that. There are now two possible outcomes.
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