Heres an updated 2 month log chart with my channel drawn in again. From the look of it the price is still treading water just below resistance and it looks like price is approaching somewhere near the middle of the channel I’ve been drawing. There be some support from that middle line, will it propel the price up through resistance? Perhaps not, however this wedge is slowly closing and as I’ve said before should be resolved before the end of March.
In a way I think the fact that price is consolidating sideways instead of falling is another bullish sign that there is plenty more fuel for higher prices yet.
I’m a little surprised that the price hasn’t spiked up on the news of what’s been happening in Cyprus. If you haven’t heard of it, there has been a new Cypriot bailout deal agreed with involvement of IMF. As part of the terms of this bailout agreement, money will be taken from people’s savings accounts and used to pay off the creditors, who are presumably mainly german banks. Nearly 10% of the peoples savings is being taken! The money in their accounts is frozen they can’t withdraw it. How would you feel if this was your savings?
If this is a sign of whats to come in other EU countries like Greece, Spain or Italy for example, and you are from those countries, where would you prefer your wealth held? In euros in your bank account, or in physical gold and silver and bitcoins ?
I know what I choose.