Hello Chart Watchers!

In our last SPS update, I mentioned that we can afford to drop down to where we were a few candles prior to the breakout to backtest it as support.

I said we CAN... it doesn't mean we SHOULD. :D At least I can confirm one thing: the bears are reading this blog. So you need to help me spread this to more bulls so we can all go to the moon!

Anyway, jokes aside, on to today's update!

SPS' Weird Personality Quirk

Any seasoned trader or investor who reads charts will tell you that any asset develops its own personality over time. There are certain characteristics on how candles form, certain ups and downs that's unique to that asset alone. Think of it like a fingerprint.

Well, now that SPS has been trading for 3 months, it's starting to have its weird quirks unique to it. For one, it likes forming lumps, where it rallies, but eventually comes back down to its original price when it started before moving on. Doesn't matter what happens after, whether it's a rally or dump. It'll form a big or small lump nonetheless.

Anyway, the current dump may be worrying, but I'm not too concerned yet. We're still holding a key level of support, and are still resting on the RSI level where we started are bullish ascent. Let's look at lower timeframes to see where we're at.

ANOTHER Broadening Descending Channel :|

Soo, the bulls fought so hard to break the trend line of the previous broadening descending channel only to form... another broadening descending channel. LOL. I'd like this opportunity to send a message to all traders, whether human or algorithm trading SPS: C'mon guys. Stop doing the exact same thing over and over. I'm trying to teach people here the beauty of patterns and you're only doing one thing. :|

Anyway, same message as before. We break the trendline going up, we go back to where we formed the channel. Otherwise, we'll just keep descending the channel if we lose support. If we also rally from here, we will be forming a W double bottom, a very bullish indicator that we will always find 49 cents as support and can move on.

Let's see if our support structure holds. In the meantime, stay safe, hope you had a good weekend, and HODL strong! :)

_________________________________

Like what you see? Upvote and follow me for constant updates on SPS! Thank you all!