4070: Analysis: Two situations

As you see on the chart we are not in a real trend. It will look like a trading range situation. That is to say a balance between buyers and sellers. However, if the resistance line and the vwap are forcefully broken by a large green candle and followed by large green volume we would have a good chance of having a nice uptrend. On the other hand, if it is the support line that is forcefully broken by a large red candle and followed by a large red volume, it means that we must prepare for a heavy decline in the market.Thanks!