The markets have been a wild storm lately, from very hostile whipsaw action, now to explosive unstoppable movement from the USD – it’s been hard to catch a signal.
I got an alert from my battle station this morning about a bullish rejection candle that formed off a support level. I know the notification on the phone says daily chart, it’s a glitch, working on a fix.
So if you check out the dow h4 chart above, we can see a very strong looking rejection candle there which does show bullish presence at a clearly defined support level.
This support level will become a ‘line drawn in the sand’, whereas if it holds, we could see a nice bullish move up. But, if it fails, it opens the doorway for a potentially serious down move.
Update: I just noticed this setup has taken off to the high side here and we’re only half way through the Asia session.
This is highly suspicious price action, and usually these early Asia pushes end up failing… hard, after London opens. So I’ve canceled my order here and waiting for some more clear price action.