All warning signals highlighting short term momentum loss are marked with ellipeses on the charts:
Daily:
- Heikin-Ashi candles: inside bar yesterday, followed by anotrher weak candle today (so far)
- haDelta and haDelta+ turned down
- MACD points down -> minor negative divergence compared to highs in last few days
- EWO negative divergence
4H:
- Price dips below Kijun Sen
- haDelta cross down at zero? (to be monitored)
- haOscillator "failure" and possible cross down below 50? (to be monitored)
- EWO is approaching zero
All together market has built some negative divergence, and is losing bullish steam.
Consolidation or retracement lower has increasing chance.
And there is another interesting thing on the daily chart! As I already posted it yesterday on my Twitter feed, it looks like market price action by both pattern and intensity is almost exactly the same to the one we saw back in August 2016 (precisely from end of July till beginning of September). Please compare the rectangles, and the vertical line to see where we are right now (approximately) within the consolidation box.
I have to admit I hate fractals and I don't believe the same can/will surely happen again, but this comparison was so eye catching on haDelta, EWO and MACD indicators too, that I decided to share with you. Maybe just something interesting to follow even if I don't believe in fractals. :-)
Daily:
- Heikin-Ashi candles: inside bar yesterday, followed by anotrher weak candle today (so far)
- haDelta and haDelta+ turned down
- MACD points down -> minor negative divergence compared to highs in last few days
- EWO negative divergence
4H:
- Price dips below Kijun Sen
- haDelta cross down at zero? (to be monitored)
- haOscillator "failure" and possible cross down below 50? (to be monitored)
- EWO is approaching zero
All together market has built some negative divergence, and is losing bullish steam.
Consolidation or retracement lower has increasing chance.
And there is another interesting thing on the daily chart! As I already posted it yesterday on my Twitter feed, it looks like market price action by both pattern and intensity is almost exactly the same to the one we saw back in August 2016 (precisely from end of July till beginning of September). Please compare the rectangles, and the vertical line to see where we are right now (approximately) within the consolidation box.
I have to admit I hate fractals and I don't believe the same can/will surely happen again, but this comparison was so eye catching on haDelta, EWO and MACD indicators too, that I decided to share with you. Maybe just something interesting to follow even if I don't believe in fractals. :-)