Tonight, the most important events are the Federal Reserve's interest rate decision and Powell's speech.
Currently, the 4-hour chart technical indicators show that the RSI has entered the overbought zone, which usually indicates that the market may face short-term correction pressure. However, it is noteworthy that although the price encountered some resistance after reaching the top of the range, it has not clearly broken below the upward trend line.
In this context, relying solely on RSI overbought conditions cannot be a sufficient reason to short the market. This is because the market may still maintain strong momentum and continue to rise. Unless investors have preemptively positioned themselves at the top of the range, blindly shorting in the current upward channel poses significant risks.
A more prudent strategy is to pay attention to the relationship between the price and the channel. When the price gradually approaches the bottom of the range or the lower channel, these positions often provide better entry opportunities and also make it easier to set reasonable stop-loss points. Because shorting at these positions allows the stop-loss to be set at the lower point below, making the risk relatively controllable.
In summary, before the upward trend of the market has clearly changed, shorting at the top is highly risky, as the specific position of the top is often difficult to predict. Rational analysis and cautious operation are the long-term strategies.