But back into reality, I keep drawing possible scenarios for the following weeks. Check that my targets and congestion lines are the same as before I just extended them into the future to picture my stop levels. I'm going LONG as soon as we get 1296-1300 levels. Bear in mind the convergence of S&R (congestion lines) with and channels. Those are the levels I'm likely building up my longs all the way around.
In the chart you'll see my full S&R and S&D analysis.
I hope it is useful.
Great new year start!
Why I see price not going below those numbers? Gold stocks are signaling a healthy recovery, they might explode upside in the following 1 to 2 years, starting now. I also see commodities trading higher as PMI continues to rise above expectations. I also see inflation (CPI) hitting US primarily not via aggregated demand (which is weak to non existent) but by rising production costs. It's a feedback loop. Check Oil and Silver as examples, I see a lot of potential there.
Have a nice day!