If you have been following my charts for a while, I suggested that the general markets could turn
back up as the monthly had blown off its extremely overbought state since I started posting in
December. Now that they have bounced we can see that the bulls are not done yet and
are looking to cross the 200ma on the 4hr time frame. The hidden bullish divergence suggests
that this is the case and we likely will continue the trend upwards. Are we in a new bull market?
We can not say...there isn't enough evidence at the moment and anyone that says otherwise
does not know what they are saying. We have evidence that the monthly is now oversold and
looking to turn back up--but it could be denied at the 50% line for monthly oscillators.
Maybe the oscillators could cross upwards past the 50% line and create Hidden Bearish Divergence
where the markets make a lower high but the monthly oscillator makes a higher high.
Maybe we make all time new highs. We ca not say. What we can say is that for now the bulls
seem to be in control and are looking to take this higher. Respect the divergences. I have proven
they must be respected. Good luck trading.
Here the set up is simple, WAIT for the 4hr Stochastic RSI to move past the 20% line to confirm a buy.
back up as the monthly had blown off its extremely overbought state since I started posting in
December. Now that they have bounced we can see that the bulls are not done yet and
are looking to cross the 200ma on the 4hr time frame. The hidden bullish divergence suggests
that this is the case and we likely will continue the trend upwards. Are we in a new bull market?
We can not say...there isn't enough evidence at the moment and anyone that says otherwise
does not know what they are saying. We have evidence that the monthly is now oversold and
looking to turn back up--but it could be denied at the 50% line for monthly oscillators.
Maybe the oscillators could cross upwards past the 50% line and create Hidden Bearish Divergence
where the markets make a lower high but the monthly oscillator makes a higher high.
Maybe we make all time new highs. We ca not say. What we can say is that for now the bulls
seem to be in control and are looking to take this higher. Respect the divergences. I have proven
they must be respected. Good luck trading.
Here the set up is simple, WAIT for the 4hr Stochastic RSI to move past the 20% line to confirm a buy.
Comment:
Sell on the 1hr is not bullish