1,27 D-point stands at 10350 and the 1,61 D-point at
10650. After finding support by the Kumo cloud index made a
nice breakout of the 10000 handle after finishing a Triangle
consolidation. It has also attempted a break of the larger
ascending but has opened monday with a gap down
and is again inside the formation.
Price has closed on friday right at the 61,8 of the CD leg
in a going back to 16th Oct 2014.
Chances are we will see a touch of the 127 D-point in the
before any retracement, The minimum target of
the 127 is the 61,8 fib of the whole pattern which
stands at 9900. If this is a false breakout altogether, a drop
back to the lower is likely.
Since there are clear possible reversal patterns forming,
including the 161 with D point at 10650, I prefer to
stand on the sidelines, instead of taking a breakout trade
from here (which is a favoured strategy in more high volatile
markets which we are currently seeing, illustrated by the
ATR at the bottom).