THE VIEW IS RETAINED FOR AN INCOMPLETE TRIANGLE PATTERN THAT IS DEVELOPING.
The medium-term stance of a PQ triangle pattern has been further confirmed by overlapping range trading. The pattern is incomplete but should eventually result in a bear trend to T1 and beyond.
The LM-defined downward correction is potentially phase C of the A,B,C,D,E triangle pattern.
A breach of L* will mean that phase C is complete with upside potential to P.
Current market action is around the MP midpoint of the triangle, suggesting low directional bias and short-term uncertainty.
Medium conviction on the PK triangle pattern.
Target and Reassessment Levels:
Important Levels: L* and K*
Primary Trend: P/K ongoing consolidation
Current Trend: Downside off L* to S1
Monthly Range: R1*/K*
Technical Rating: Medium on the PK Triangle