The passing week printed a big strong bullish bar – earlier than my assumptions. The Daily bullish setup could be noticed clearly by taking out the Daily swing High on last Tuesday and closing on the High. Indeed, the market has completed almost immediately the 1:1 risk reward move higher within the remaining two trading days of the week.
The price has also reached the double bottom (seen clearly on the Daily timeframe) target at 8650, closing important open gaps on the way up.
For this monthly bar to be a Monthly reversal up we need to see a strong close of the Monthly bar, such as its current shape, or a Higher High on the next month. However, since the last two Monthly bars closed below the 8 EMA short term sentiment line, it indicates that there are many chances to see at least another Monthly bar trading within the current range, most likely testing the current range Lows again (i.e. 8150-8270).
For the longer term, pay attention that taking out the Monthly swing High at 8968.7 is a bullish setup to reach the area of 10043. A Daily reversal up that takes place above the last Daily swing Low at 8327.2 is probably going to indicate that the market is too strong to spend another Month in the current range, and that we are probably in an AB=CD pattern (see Daily chart) that should take us to that Monthly Swing High mentioned before.
