EMA Levels: EMA 50 ($205.83): This is the immediate support level. Price is extended above it and this EMA will likely act as a bounce zone during any short term pullback. EMA 12 & 25 Confluence ($210.97): Hidden but implied by the "Bullish" signal. This range overlaps with the EMA 50, creating a confluence zone around $205–$211, which is a high-probability entry area for scalping longs with tight invalidation below $200.
Key Levels: pqH ($260): Major resistance above the current range and the likely long-term target for bulls. Current price ($218.67): Acting as a local resistance zone. Price needs a clean break and hold above this level to confirm strength for continuation. pmL ($180): A critical demand zone. If price breaks below the EMA 50, this level would be the next logical test area. pqL (~$140): The ultimate support for a sharp deep pullback scenario. If price grinds slowly lower it would invalidate the longs scenario.
Stochastic RSI: The Stochastic RSI is currently overbought (>85) but shows a slight downward turn. Historically, similar conditions have led to price corrections before a continuation. An ideal entry would coincide with the Stochastic RSI resetting below 20 during a retest of support levels like $160–$166 level back in November.
Projections (Annotated on the Chart):
The chart suggests a potential pullback to either $180 or aggressive spike towards $160, followed by consolidation and a strong rally toward $260.
This setup aligns with the pattern seen in early November, where a combination of Stochastic reset and EMA support led to significant bullish continuation for 3 weeks and a 70% price increase.
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