As I’ve been expecting, we’ve finally seen a proper retest of the $65.7k level that I’ve been hyper fixated on for close to two months now, as this marks our prior weekly BOS.
As we can clearly see, this level is acting as short term resistance following the rally we’ve seen over the past 24 hours. I wouldn’t be surprised if we see a rejection here into a retest of the strong support sitting around $64k on the VRVP.
Although this rally has been quite strong from a short term perspective, we can’t objectively assume the probability of a larger macro move higher is favorable until the $65.7k to $66k range is reclaimed with a weekly candle close.
It’s still only Monday, so let’s keep a very close eye on how price action reacts to this level throughout the week. If we close above it, we can start to entertain a macro continuation higher. But if we close below, we should still expect further macro downside.
