Weekly:
- Ichimoku setup is still bullish. Kijun Sen is catches up, providing first important support ard 4300+. Next (lower) support is at the Kumo and 100 WMA ard 4085.
- Despite more bullish Heikin Ashi candles, there has been some serious negative divergnece buing built in haDelta! This means that the Bullish momentum may not be as strong and consistant as during previous years.
Daily:
- Ichimoku setup is bullish, Kumo is relatively thin and Price is close to the Kumo (means less support in case of a selloff). Price may be building a medium term bearish wedge. First support came higher on daily chart and is ard 4415. A break below that level could cause a bigger correction (bearish counter trend) targetting the weekly supports (4300 or even 4085).
- Heikin Ashi signals a swing sell: red candle and haDelta/SMA3 may come below zero line.
For now it looks a good for a swing sell, but we still need to wait a bit more to see if a major correction can unfold or if the wedge holds for a few more months.
p.s.:
- Possible negative factors: Interest rates slowly increasing, USD is stronger again, political tension and financial issues between Greece and EU still unsolved, US stock mkt volatility is extremely low, espec in case of Russell2000, most of individual companies' valuations are extremely high (overvalued) measure by any kind of old standards
- "Positive" factors: ECB is printing like a lunatic, stepping more on the gas pedal (bringing purchases forward) after shtn in pants with EURUSD move from 1,05 to 1,15, China equity rally with retails buying like crazy, Japan is expected to do more QE... sometimes (we don't know when, but they MUST, as someone will always have to save the world with some QE)
Anyway, we never really know what the mkt has distilled in prices and how it would react on certain news... that's why we have to trade Price action!
- Ichimoku setup is still bullish. Kijun Sen is catches up, providing first important support ard 4300+. Next (lower) support is at the Kumo and 100 WMA ard 4085.
- Despite more bullish Heikin Ashi candles, there has been some serious negative divergnece buing built in haDelta! This means that the Bullish momentum may not be as strong and consistant as during previous years.
Daily:
- Ichimoku setup is bullish, Kumo is relatively thin and Price is close to the Kumo (means less support in case of a selloff). Price may be building a medium term bearish wedge. First support came higher on daily chart and is ard 4415. A break below that level could cause a bigger correction (bearish counter trend) targetting the weekly supports (4300 or even 4085).
- Heikin Ashi signals a swing sell: red candle and haDelta/SMA3 may come below zero line.
For now it looks a good for a swing sell, but we still need to wait a bit more to see if a major correction can unfold or if the wedge holds for a few more months.
p.s.:
- Possible negative factors: Interest rates slowly increasing, USD is stronger again, political tension and financial issues between Greece and EU still unsolved, US stock mkt volatility is extremely low, espec in case of Russell2000, most of individual companies' valuations are extremely high (overvalued) measure by any kind of old standards
- "Positive" factors: ECB is printing like a lunatic, stepping more on the gas pedal (bringing purchases forward) after shtn in pants with EURUSD move from 1,05 to 1,15, China equity rally with retails buying like crazy, Japan is expected to do more QE... sometimes (we don't know when, but they MUST, as someone will always have to save the world with some QE)
Anyway, we never really know what the mkt has distilled in prices and how it would react on certain news... that's why we have to trade Price action!
