Month’s theme: We’ll attempt to reestablish a support level from a resistance level down to and through a support. We’ll then bounce sideways between that support level and the resistance above it before breaking down through multiple support levels.
Behavior around the high: We’ll attempt to establish support at the high. A male ruler of nations is probably also highlighted.
Behavior around the low: A new local high is formed within close proximity to the low for January. We’ll move higher through resistance, stay above it briefly and then break back down through the same price level.
Overview
Week One (1/1-1/7)
On January 1st, we’ll have a prominent high when we rally along a diagonal trend line, break through horizontal resistance to meet a secondary resistance, and then pull back to somewhere between those two price levels. We’ll rally higher out of a day’s low toward the end of the day. On the 2nd, there’s a notable and unexpected move and opportunity toward the end of the day at a prominent high or crest. There’s a significant technical price level somewhere between the 1st and the 3rd. There’s a prominent low on the 4th. There’s erratic behavior back and forth through the same price level on the 4th, and in the midst of that erratic behavior there’s a notable move higher on a one-day chart that brings us to a crest that was recently a past opportunity. Out of a low on the 5th, there’s a rally that offers an opportunity to open up a short position. On the 6th, it looks like we’ll establish support at a high temporarily but there’s an intentional fake out or shake out. It looks like we’ll decline pretty hard on the 6th. We’ll establish support to the downside on the 7th. There’s a fast, sudden move higher marking the end of a period of rotation.
Week Two (1/8-1/14)
On the 8th, we’ll have a period of volatility after meeting a prominent resistance level. It looks like we’ll try to establish support at that resistance level. We’ll have a day’s low early in the day on the 9th and a prominent low for the month on the 9th. The bottom of a range is highlighted early on the 9th and again on the 10th. On the 10th, we’ll have a breakout on the scale of a one-month chart that takes us higher unexpectedly on the 11th. That move higher is followed by a sharp decline on the 12th. We successfully turn resistance into new support temporarily somewhere between the 12th and the 14th. We’ll have bearish price swings with a sharp decline on the 12th. On the 13th, a merger or agreement between two leaders is highlighted. There may be a move higher with a full retracement back down. Between the 12th and the 14th, there’s a high probability that we’ll see the month’s high. We’ll have some price swings 14th and a day’s low or prominent low early in the day.
Week Three (1/15-1/21)
On the 15th, we’ll decline from a support level down to and through another support level and then we rotate sideways along that support. There’s a notable drop at the end of the day on the 15th and into the 16th. There’s a high probability that the month’s low is on the 16th or the 17th. Out of that low, there are sideways fluctuations with a bullish trend that precede a decline. I’m advised to open up protection in the midst of a day’s high on the 16th. On the 17th, there’s a rally along a diagonal trend line increasing with momentum as we move forward into a key technical resistance level. On the 18th, we’ll sell from an overbought crest or peak. On the 19th, there’s a notable move higher into a prominent high for the month and we’ll establish support at that price level. There will be three pokes through the same price level followed by a sharp decline on the 20th. That decline continues into the 21st where we’ll decline through a key support level that we recently declined through.
Week Four (1/22-1/28)
On the 22nd, we’ll likely gap up to a resistance level that we attempt to turn into support, however we’ll then decline pretty hard from that price level early in the day. The decline continues into the 23rd with increasing momentum as we move forward into the day. It looks like there’s a notable drop either overnight on the 23rd or early on the 24th. There’s a high probability that the 24th is the month’s low. We’ll decline to another prominent low on either the 25th or the 26th. There’s an important resistance level highlighted on both the 26th and the 27th. There may be a little bit of a breakout at the end of the day on the 27th, however I’m advised not to chase that rally. There’s an unexpected failed attempt to break through key resistance and a decline through key support on the 28th. There’s a notable move higher at the end of the day or overnight where we attempt to establish support moving into the 29th.
Week Five (1/29-1/31)
There’s a big move toward the end of the day on the 29th. We’ll bump along resistance on the 30th. There’s a notable drop on the 31st and possibly another low for the month that offers the opportunity to open up a long position.
Sneak Preview
In February, we’ll see a significant move higher that reaches for distant resistance.
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