After the head and shoulders pattern, we can see that all fib levels incl the -1 was hit and played out nicely.
this means we could look for the next bearish set-up. This could be a retest of the 3.56T, being the first structure past the -0.618.
At this moment the index is struggling with the weekly low, for the third day in a row rejecting on that level.
As we hit and broke a weekly level we can watch and zoom in on the 4H chart.
Here you can clearly that we broke below the weekly low with the two bearish candles. These two candles set the 4H range where in between the index has kept on moving, retest the highs twice now.
What are the possible set-ups for now ?
Bullish : we can see a retest of the lows, potentially until the 3.34T level, where a inverse head and shoulder could be formed.
Bearish : At this moment, we can potentially see a head and shoulder, where the shoulder 1 and the head are already printed. At a weekly level this would mean a break of the weekly level, retest and rejection.
