US30 neutral as of now (but price is showing bearish signs)This stock has been very bullish for the past year but we are finally seeing a retracement of price.
This is evident in all timeframe.
3 month and monthly timeframe:
Price broke all time highs at 37,000 with a lot of momentum.
Price collected more bullish orders at 37,250 where we saw another up raw of price.
Price made a very solid liquidity spot at 41,750, where price stayed above for the past 4 months before this level got decimated in the last week.
The next noteworthy level on the 3 month and monthly timeframe is 40,000.
This is where I believe price is headed.
Weekly
We see that price took a lot of sell orders at 44,000 and broke the 41,750 handle.
The next noteworthy liquidity region of substance is 40,000 which aligns with the 3M and monthly as well
Moreover, this week candle has a high chance of closing with a three pin pattern, which shows me that price is going to go lower.
The fib targets for the weekly were hit yesterday, showing me that price, might retrace upwards a bit before it collects more sell orders.
Daily
Since, there is a high probability of price going lower on the weekly timeframe, all the daily timeframe does is confirm the regions where we might see sellers getting in the market.
Moreover, since the weekly fib targets were hit yesterday, that means that price is due for a bullish move before it goes lower.
The fib targets also align with a major liquidity zone on the daily and 4 hour region at 40,750.
The thesis on the daily timeframe informs me that price might retrace to 41,500, at which I will look to sell the pair even lower.
4 hour
Now that we know that price is due for a pull upwards before price goes lower, the 4 hour timeframe, for me, is the best timeframe to tell me where the best liquidity regions are at.
The ones that stand out to me are at 41,750 and at 41,300.
If a buy setup forms as price is headed to those two regions, I will definitely buy the pair.
But as of now, I am sitting on my hands waiting to see what price has in store.
