As much as I hate to say it, we are still trending down. The indicators are suggesting a drop could be imminent. Warning: Technical Analysis ahead.

Many, if not most people see technical analysis akin to astrology. And that's fine, but with perspective, I do believe TA can be used to help us identify what is more likely to happen in the future.

Unfortunately, the news is not good. I want to see massive gains as much as anybody, but I can not deny the obvious signs that another big dump could be on the way very soon.

Here are some of the examples:

The daily timeframe has been stuck in this descending triangle of resistance and support since May. Every day, the range has got tighter and tighter. We have bounced off the line of resistance seven times, and each time been rejected. A descending triangle is more likely to result in a break to the downside.

Daily Descending Triangle

Even on the 2H chart, zoomed in, you can see the constant rejections of the past 24 hours off the resistance line.

2H Descending Triangle

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If you compare the descending triangle some historic data, you can see the descending triangle forced the price tighter and tighter into the range. Eventually, after several weeks, this resulted in another move down.

2018 vs 2022 Weekly descending triangle.

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As I said, I of course do not want see us drop further. This past year has been brutal. Is buying or selling now a risk? Yes. Could we break to the upside? Yes. Do I know anything? LOL, No.

But I am preparing just in case. Are you in a headspace that is ready to see a big drop very soon?

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EDIT: Jesus. 7 downvotes and an award in the first ten minutes. WTF? This sub is so weird...