US100 - Trading within a bearish parallel channel!

4 gün önce

Introduction
The US100 is currently trading within a well-defined parallel channel to the downside, consistently finding support along the lower trendline and facing resistance near the upper boundary. This structure has led to a clear pattern of lower lows and lower highs on the 1H timeframe. Most recently, price action broke market structure, and we now anticipate a reaction near a high-confluence resistance area.

Parallel Channel
A distinct parallel channel has been developing on the US100 over the past several days on the 1H timeframe. During last night's move, the price touched the lower boundary of the channel and has been trending upward since. After breaking above the midline at $21,640, momentum suggests a potential continuation toward the upper boundary of the channel around $21,830.

FVG
During the most recent downward move, the US100 created a significant 1H Fair Value Gap (FVG), stretching from $21,775 to $21,840. This zone represents a key imbalance that could generate a strong reaction to the downside if price revisits it.

Conclusion
Given the break in structure on the 1H timeframe, short-term upward moves are likely to face resistance. The confluence between the upper boundary of the parallel channel and the 1H FVG creates a high-probability area for price rejection, making it a critical level to watch for potential downside pressure.

Disclosure: I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.

Thanks for your support.
- Make sure to follow me so you don't miss out on the next analysis!
- Drop a like and leave a comment!

3 gün önce

İşlem aktif

The trade is active and playing out like textbook!!

evvelsi gün

İşlem elle kapatılmış

We rejected perfectly and went almost to the lows. Looks like it wants to reverse right now