1-Hour Analysis:
Big Picture: Price made the deeper move over the weekend, penetrating into the lower demand zone. The zone held as anticipated, and a good reaction was noticed later from it. The macro picture has not improved and remains bearish going forward, but the short-term trend may change toward bullish excitement if price can breach and hold above the choppy range.
On the Upside the initial resistance is observed between 20,800 and 20,950. In order to enter the short-term bullish zone, price must break and remain above this level. The next intraday resistance level is 21,350, followed by 21,700. The range’s highest point is 22,800. This is a critical milestone for price to breach in order to trigger another bullish wave, which is expected to push price to 23,700 initially, followed by 25,000 in the coming sessions.
On the Downside the hourly EMA-100 and 50 have now been converted into supports. This is a good sign for the bulls on the shorter time frames. However, the first level of support is observed at 20,200-20,080. If this is lost, the price will be exposed to the prior ATH support at 19798.70. Furthermore, the hourly EMA-50 is present at this level. However, any fall below this level will return the market to the bearish pressure zone, which ranges from 20,080 to 17,880.
