As we can see, the candles have never been able to close past the 0.625 price point since 7/9/20. If we have a look at the monthly chart, we will see a big bull candle which we can mark as the anchor of the rally, aka dominant/anchor candle. During early January, a bullish engulfing was formed at the 0.635 price point on the weekly timeframe, followed by a retest and rally but the price respected the nearest resistance and we may see another retest on the engulfing zone or breakout to a further bear move.
Currently, there is also a potential for a three-drive move towards the next fresh demand zone. Fibo extension levels (261.8) are matched as well for extra confluence.
Awaiting further price action.
Commento:
The price mentioned is 6.125* not 0.625.