There are times when the Parabolic will be short lived and reverse the other way again, usually in one or two candles. This happens a lot in shorter time frames as well as in volatile markets. Personally I think we have exhausted a lot of the noobies who sold out and of course bought in at higher and higher prices which created the . Still I will watch this indicator closely, but I can tell you that it’s appearance on THIS candle brought a smile to my face, especially since the other TA has been in place for a rise for about a week now.
You can see further examples of it “following” the trend by scrolling backwards in time on the chart.
There are other instances when the Parabolic is a divergence indicator which we can also see an example of on the chart. You can see a clear example of this at the top of the market on this chart as the SAR slides down and the candles keep rising higher to their peak ATH . I do not however gives this divergence method as much credence as I do when I see it on a .
Histogram is also now above zero which means momentum is picking up and rising to the upside. Another great indicator.
We should see 9200 in short order. I am still expecting a rise to the 50 day MA which is major resistance, currently between 12k and 13k . 10k will be a psychological as well.
If you check my other charts on TradingView, you’ll see I’m pretty accurate in my calls. My last chart called the turn and goes into a lot more detail. You might enjoy checking it out.