On weekly chart price is creating negative divergence with MACD. This could lead to few results:
1. If price breaks pink channel to the downside, there would be strong case to retest $80 +/- few bucks range (previous high). This could fit a narrative of fears around higher interest rates / lower multiples.
2. If price stays within pink channel for some time and eventually breaks to the upside, there would be a monster bullish run after the break out. This would fit a narrative of large amounts of stimulus propping asset prices.
Personally at the moment I am inclined to the first scenario (with a bias to enter long position at $80), but keeping an open mind to other outcomes.
This is not financial, investment, or trading advise.
1. If price breaks pink channel to the downside, there would be strong case to retest $80 +/- few bucks range (previous high). This could fit a narrative of fears around higher interest rates / lower multiples.
2. If price stays within pink channel for some time and eventually breaks to the upside, there would be a monster bullish run after the break out. This would fit a narrative of large amounts of stimulus propping asset prices.
Personally at the moment I am inclined to the first scenario (with a bias to enter long position at $80), but keeping an open mind to other outcomes.
This is not financial, investment, or trading advise.
