The passing week started with a weakness that eventually caused the bullish idea suggested here in the last review to fail, and the market continued the previous bearish setup to its target, and even more downward. Friday has turned everything up side down by making a bullish kicker pattern with a bullish bar that covered the previous 11 daily bar range.
As a result of last Friday, the weekly bar has turned into a bullish pinbar leaning on the sloping 8 EMA, engulfing the previous Weekly bar, a bullish pinbar by itself (but that never got a thrust up before making a Daily LL, canceling its potential trigger).
A thrust above the Weekly High at 6928.25 is a bullish setup to challenge the current all time high, and perhaps might turn the current Yearly bar into an engulfing pattern bar, right at the all time high, a very rare scene.
It is best to have at least one day of consolidation within the last Friday’s bar range, before taking out its High (which is the Weekly High and the trigger to reach the all time High).
As for the main resistance levels from above, we have the 6979, 6996 and 7025 levels as resistance, created by the price action of the previous behavior at those levels (when the previous all time High was recorded March-April 2015), and there are as well the extensions 138.2% and 161.8% of the last correction down, at 7044 and 7098.8 respectively. Support levels are mentioned as well on the charts.
Disclaimer: Anyone who takes action by this article does it at his own risk and understanding, and the writer won’t have any liability for any damages caused by this action.