Everyone has seen this break….
But that doesn’t mean there isn’t going to be follow-through!
The forecast for this break (according to classical charting principles) is close to the breakout point for this last run-up – around 4000.00. Can you imagine if we give back all those gains?
In case you’re not a chartist and its not immediately obvious what I’m pointing out in the image above, here’s the short summary: the two long green lines represent a “triangle”. The giant red bar on the right side of the chart breaking down through the triangle usually forecasts more downward movement in price. The target for such a move is the height of the triangle – i.e: take the price from the where the break of the triangle occurred and subtract the height of the triangle.