Positive divergences again. Will it work for a bottom this time?
Weekly:
- Ichimoku has a bearish bias, but despite the recent selloff, the averages (Kijun and Kumo) are still dlat, as the rally in May-June had same weight! This means mkt got oversold as Price is very far below equilibrium.
Maybe it sounds funny, but this market still has to be considered as a RANGE. The range is very wide, with 320 possible bottom, 375-380 equilibrium mid, and 425 top.
- Heikin-Ashi is still bearish, but haDelta has been picking up from extreme low. Price made new lows towards 320 resistance, so this means some positive divergence. haDelta need to climb over zero to fade heavy bearish price action.
- EWO is bearish. MACD is bearish biased, but signal line is still above zero, and histogram seems to start bottom out. (very early and weak positive signal)
Daily:
- Ichimoku setup is bearish
- Price pattern makes a possible bullish wedge
- Heikin-Ashi gives early bullish signal: haDelta is testing zero, it has built remarkable positive divergence. Candle may turn bullish today, but first real key reversal level is 329!
- EWO is bearish, but has been slowly building some bullish divergence too.
Strategy: Get ready to open 0,5 unit swing long. Initial tgt can be 350 +/-.
Note: I will show 4H Ichimoku later on Twitter from my firm trading system. 4H Kijun now is 326,25 and forward Kumo top (Senkou B) is 329.
- Ichimoku has a bearish bias, but despite the recent selloff, the averages (Kijun and Kumo) are still dlat, as the rally in May-June had same weight! This means mkt got oversold as Price is very far below equilibrium.
Maybe it sounds funny, but this market still has to be considered as a RANGE. The range is very wide, with 320 possible bottom, 375-380 equilibrium mid, and 425 top.
- Heikin-Ashi is still bearish, but haDelta has been picking up from extreme low. Price made new lows towards 320 resistance, so this means some positive divergence. haDelta need to climb over zero to fade heavy bearish price action.
- EWO is bearish. MACD is bearish biased, but signal line is still above zero, and histogram seems to start bottom out. (very early and weak positive signal)
Daily:
- Ichimoku setup is bearish
- Price pattern makes a possible bullish wedge
- Heikin-Ashi gives early bullish signal: haDelta is testing zero, it has built remarkable positive divergence. Candle may turn bullish today, but first real key reversal level is 329!
- EWO is bearish, but has been slowly building some bullish divergence too.
Strategy: Get ready to open 0,5 unit swing long. Initial tgt can be 350 +/-.
Note: I will show 4H Ichimoku later on Twitter from my firm trading system. 4H Kijun now is 326,25 and forward Kumo top (Senkou B) is 329.