Last week, the index quotes reversed at the central level of the Murrey trading range 25000.00 ([4/8]) and resumed growth, aiming at a reversal level of 26562.5 ([6/8]).
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On the H4 chart, a lateral trend has formed. The instrument is trading within the narrow channel formed by the lines of Bollinger Bands; the indicator cloud is narrowed, the preservation of the lateral trend is possible in the short term. MACD histogram is near the zero level, its volumes are minimal; the signal line moves horizontally without forming a clear signal to enter the market. Stochastic left the overbought zone, having formed a signal to open sell orders.
The price may fall.
On the 4-hour chart, a downward correction developed as the fourth wave of the higher level 4, and the formation of the wave 5 started. Now, the first wave of the lower level i of 5 is developing, within which a local correction is developing as the fourth wave (iv) of i. If the assumption is correct, the price will fall to the levels of 11527.2–11220.6. In this scenario, critical stop loss level is 12600.3.