In
the daily charts, the short term directional indicators are nicely pointing
downwards.
They have come down to the 45% mark now and still have some way to
go, before hitting the oversold region.
If going according to days gone past in
such scenario, then this indicator may continue to exude weakness for another 3
days, at the most, before attempting to make a turning.
The medium term
trending indicators have just started to test the parity line after making a
nice turning and slide lower.
Usually this sets up for testing of one’s nerves,
as the indicator dribbles on the line until a winner is decided, whether we forcibly
push through or it manages to hold it
there and turn back up.
Looking at the bigger picture and really tight ranges,
something is brewing beneath the calm and could soon be apparent when the
interest rate decision is made known.
The optimists are holding out for no increase
and the pessimists sitting on the other end.
That being the case, it will likely be the
optimists who had been taking the offers when it tested lower as that will be
their nature, more pro-active.
The long term directional indicators were
consolidating earlier but now has come very close to cutting lower.
However, in
this indicator, a miss is as good as a mile and you can never second guess if
it is going to cut or not.
However, a closing below 1220 will confirm the
cutting and blood will need to be let out after that.
The momentum/volatility
indicators have dropped to such a low level, it is almost in hibernation.
The bias
has now turned negative but it still tussling to fight back and pull back the
other way.
So although it is negative now, it is not clearly etched and will
take at least a couple of days to solidify, or not.
Interim
supports are at 1227, 1223.50 & 1210 with minor supports at 1228, 1219.40
& 1212.60.
Interim
resistances are at 1240, 1244 & 1252 with minor resistances at 1238, 1242
& 1251.70.
The
daily/weekly trend changer points are at 1259.60/1174.05.
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