- picture is turning towards neutral as Chikou Span hits past candles, and weak Tenkan/Kijun cross stays valid. However Price is still above Kumo. USD Index could become only with a new break above 97,50, otherwise it will become more neutral and more biased, also more choppy with a lot of up and down swings lasting for 2-5 weeks.
- Heikin Ashi has become extremely in last three weeks, with haDelta reaching extreme low level. Now we can expect some form of consolidation, which can happen via less agressive selling or maybe even some buying, but the picture remains until haDelta/SMA3 stays below zero line.
- Upper supp/res is 97,50, lower supp/res is around 94.
- It looked like a valid Kumo breakout, however it was not a valid text book breakout, as that requires also clearing previous low. It was penetrated, but Price did not close below 93,50. By now setup moved back to neutral as Price is in the Kumo and slightly above Kijun Sen. However the Kumo is thick above Price, and it means a strong resistance for USD Bulls.
- Heikin Ashi tells us something important again. USD Index probably started to lose its strong short term momentum. Watch if we have an inside candle body today! Next red candle with price dip below Kumo can be a sell signal. haDelta/SMA3 crosses down. Please note the "trend" in haDelta peaks! It means that the recovery from the lows was quite strong and agressive, but not enough to send Price back above key supp/res levels! So the bias remains with high probability.
One more thing regarding haDelta: as you see the -2 print on 24/Aug was so extremely low, that it really ringed the bell and called our attention to reduce positions. From such a suddenly happening extreme haDelta prints we often see same pace quick corrections.
And again, haDelta as a quantification tool added to our simple Heikin Ashi candles helped us again with early indication, way before the candles (which are bit lagging by their nature of noise filtering through averaging) give the final signals.
"Simple is beautyful!"