@ask
Most recent instance of such indication was on the 7th of May 2014. After 4 candles and 12days of sideways movement, finally price broke up and produced a remarkable rally.
Now price is stuck under the 200MA strong resistance. A lot of buying power is needed to overcome this stage and smaller time intervals show triple resistances (especially in the 1HR time interval).http://i.imgur.com/ZfADj4E.jpgMoreover, as shown below, market conditions were completely different back then. Stochastic produced a bullish signal 3 days prior to MACD and SAR was supportive throughout the price consolidation phase.
Today price remains at overbought territory with the Stochastic indicating a possibility of producing another sell signal and SAR still indicating downward pressure.http://i.imgur.com/flF67f1.jpgOnly a strong break above $387 will increase the odds of revisiting near $400 (1HR interval). If such price action happens we will re-evaluate.
The probability for this scenario to play out at this moment stands around 30%-35%.
The Cryptoalerts.net Team
