It has spent a lot of energy getting back into an accepted price range and the faster it gets to $100-ish (if it goes that direction) the quicker it may be repelled lower.
The following chart shows great examples of support-turned-resistance and other classic technical patterns, so if nothing more, this chart is good to have on here just for posterity:
A faster timeframe;Following a test of $96 support the last few candles were a pennant breakout pattern.
So, scenarios ahead are:
- $96 support broken on Monday could be a sign of weakness, but in such a case $94.50 could easily be support for a re-test of $96 (support turned resistance).
- A gap up early into $98-99, which will either confirm the pennant breakout, or lead to a pennant breakout failure. If the former, $100-101 is resistance (and measured move), If the latter, refer to first scenario.
- A mild gap either way, met with dips being bought into $100-101.
