From CandleSticker.com
"If a Black Spinning Top is observed after a long rally or long white candlestick, this implies weakness among the bulls and it is a warning about a potential change or interruption in trend."
Target:
I think it is fair to say that the 200 MA should show some support, but if broken this trade could move fast.
Stop loss:
Just above the highest level reached on the second candle. This is a 1.3% potential loss from the current level.
The 61.8% retracement level is also where the 200MA average is.
Slow stoch is overbought / embedded. It looks like the momentum is shifting, a drop to less than the 80 line would indicate that this has a decent probability of continuing to drop, indicator confirmation would increase this probability.
MACD
This histogram had a sizable decrease today which could indicate a top of the current wave and a pull back is coming. However, the MACD line is above the 0 mark which is bullish.
ADX
Still indicates a strong trend with a 40 rating. The DI+ line is above the DI- so the trend is still tectonically up.
In an ideal world, this would be a medium risk trade that paid off as this would be a top in the down leg to test somewhere in the 2100-2250 range. We will see what happens next week.
Silver Play: AXR
Hourly chart of AXR a stock I am pretty bullish but haven't caught a solid entry into this stock. It found support on that trend line and all the current indicators are looking bullish.
ADX is showing a weakening of trend and the DI+ is just crossing the DI- indicating a buy signal.
MACD has another high positive tick on the histogram, Momentum is turning bullish.
Nice strong volume in the last hour.
Slow Stoch is looking like it will embed soon potentially driving the price for the next couple of days.
Food for Thought
20th consecutive week outflows From ZeroHedge
No comments:
Post a Comment