1-Day Analysis:
Big Picture: As the price approached the Mid-Range levels, a harsh rejection occurred, resulting in a significant wave of profit-taking. Volumes remained at their highest since the beginning of September, suggesting that some panic profit-taking had occurred. However, the price is not in a panic mode and is unlikely to see any large sell-offs as long as it remains above the 26,000 level. However, falling below this threshold could lead to widespread fear.
On the Upside the price will confront intra-day resistance at 27,850, followed by the Mid-Range barrier at 28,430. The mid-level remains an enormous challenge for the session and for the bulls as they attempt to continue their ascent to higher levels. Any additional increase is restricted unless the price can maintain a stronghold above the 28,430 mark. Following successfully breaking through this barrier, the price will move towards 28,860, followed by 29,525.
On the Downside yesterday’s immediate support failed to hold, resulting in a further pullback. From the second level at 27,350 to 27,300, price found support. These supports were identified to create some relief, which they have done. The primary support for the session remains between 27,350 to 27,300. Below this, the next levels of support are at 26,600 to 26,500, followed by 26,220.
