A new $ARX 7-day low; current price: 0.2143, previous low: 0.2191.
After a new low, three common scenarios are:
① A rebound gets pushed back down at the previous low: weakness continues
② Price fluctuates around the previous low: consolidation, direction unclear
③ Price quickly recovers the previous low and holds above it: a bear trap
For now, price is still below the previous low. Watch to see whether scenario ① or ② plays out.
After a new low, three common scenarios are:
① A rebound gets pushed back down at the previous low: weakness continues
② Price fluctuates around the previous low: consolidation, direction unclear
③ Price quickly recovers the previous low and holds above it: a bear trap
For now, price is still below the previous low. Watch to see whether scenario ① or ② plays out.