- setup is turning to neutral: Chikou Span hits past candles, and all averages stay as flat line
Kijun Supprt is at 2060, 100 and at 2020, Kumo (Senkou B) is at 1972
- Heikin Ashi has been mixed in last 5 months. Quick candle colour changes and a haDelta around zero line shows it's been a long term consolidation.
- Wouls be again above 2130, biased below 2055-2060, and really below 2000.
- Absolutely neutral setup, impossible to trade trend following signals. Flat and thin Kumo, all averages (Tenkan, Kijun and Senkou lines) stay flat together around 2090, which is the equilibrium price now (also middle of trading range
- Heikin Ashi is , with some momentum loss expected for today. Actually it is not that bad to trade the range now with Heikin Ashi candle reversal strategy (and with tight stops).
- continuation requires a close above 2130, confirmed Kumo breakout and trend break would happen with a close below 2050!
- 200 day MA is under attack again.
Looking at China story, real demand for , the possible FED hike, and the indicators I am rather biased for long term. Looking at how central policy makers have been manipulating different asset classes, mainly , I just can not believe SP500 or mkts in general will be very easy to break and turn into ... but who knows, crashes and black swans are never announced in advance.
The prudent way now is to keep small short (and/or scale back longs), and act more agressively when the trend breaks.