Part 2 of 2. If you looked at the previous chart, which was daily, you saw mixed signals.
This is a four hour chart.
Here are the negative warning signs:
1. Sell Fractal (red box).
2. Your compass for direction, the alligator, is feeding in a down trend.
3. The 5/34 MACD (top middle) has a bearish cross.
4. The phase energy (top lower) is negative, with a zero line cross.
5. CHOP is almost below the shaded area (38.2).
6. CHOP ZONE is red, indicating a downward bias.
7. Prices are trading in the Ichimoku Cloud.
8. Prices are below the red Ichimoku Cloud conversion line.
9. Prices are below the Ichimoku Cloud baseline.
Want odds? 75% odds down (because of the sell Fractal and alligator direction), 25% odds up/ sideways (CHOP not yet indicating trend).
What to look for: if there is to be a breakout move lower, CHOP must fall below 38.2 (below the shaded area) to confirm the trend.
There are more negatives than positives. In my opinion, use tight stops if you are long.
Good luck to you in all your trades. Don.
This is a four hour chart.
Here are the negative warning signs:
1. Sell Fractal (red box).
2. Your compass for direction, the alligator, is feeding in a down trend.
3. The 5/34 MACD (top middle) has a bearish cross.
4. The phase energy (top lower) is negative, with a zero line cross.
5. CHOP is almost below the shaded area (38.2).
6. CHOP ZONE is red, indicating a downward bias.
7. Prices are trading in the Ichimoku Cloud.
8. Prices are below the red Ichimoku Cloud conversion line.
9. Prices are below the Ichimoku Cloud baseline.
Want odds? 75% odds down (because of the sell Fractal and alligator direction), 25% odds up/ sideways (CHOP not yet indicating trend).
What to look for: if there is to be a breakout move lower, CHOP must fall below 38.2 (below the shaded area) to confirm the trend.
There are more negatives than positives. In my opinion, use tight stops if you are long.
Good luck to you in all your trades. Don.