Yesterday's daily line closed with a high-level doji star, breaking through and then consolidating in a narrow range at the high. The bullish and bearish forces have reached a temporary balance at the 78k key level.

The probability of a pullback is high; everyone knows that a trend reversal is coming, and short positions are being opened. The big players also know this, so they keep causing damage, triggering liquidations, and wearing down the patience of short sellers. What we need to do is patiently wait~

News: The Federal Reserve interest rate decision at 02:00 AM Beijing time on Thursday (04-23). The result met expectations, announcing no change in interest rates and a slowdown in balance sheet reduction in June. The market interprets this as “all the bad news is out,” and immediately after the announcement, the bulls launched an upward rally.

Wearing down the patience of the short sellers: For the bears, the Fed decision is an excellent shorting opportunity, but the bad news did not lead to a decline. Instead, the price broke out strongly and firmly stayed near 78k. This “should fall but doesn’t” trend, along with the subsequent sideways consolidation at high levels, will greatly drain the confidence and ammunition (funds) of the shorts. Many indecisive short sellers will choose to close their positions (buy to close), which objectively provides support for the price.

Current market summary: The movement yesterday can be technically characterized as: bulls, stimulated by major positive news (or the bad news being fully priced in), successfully broke through the key resistance zone (77k-78k). They are now performing the standard retest and consolidation after the breakout. The purpose of this process is to wear down the patience and willpower of the opponents (the shorts), and to accumulate strength for a possible further short-term rally. Whether this is truly a “successful air refueling” or evolves into a “short-term top” is a key point to observe today and in the coming days. This requires paying attention to whether the price can hold the critical support levels during the retest (such as the 77k-77.4k zone), and whether it can again volume-break through the high of 78.2k.