Last week, it was all bearish looking, and was very difficult to find a bull case. This week, the sentiment and perhaps even technicals appear quite the opposite as the week flipped it quite well.
We start, as usual, with the weekly chart. The last week closed significantly higher, with a large bullish candle that appears to have overwhelmed the bears by closing well above the gap down range from two weeks ago, and above 400. While the MACD is about to cross under, the RPM indicates favourable support for this flip bounce.
Resistance is seen at 418 ( above the weekly 55EMA) and the one to beat is 432.
The daily chart shows the spectacular flip in detail, where the week started in a mild downward draft, and then the Bullish Engulfing pattern formed mid-week. This was followed through, and the week ended with a a nice gap up and run, to close above the previous gap range, as well as above the daily 55EMA.
The MACD crossed over, and the RPM is about to cross over as well, supporting the bullish end for the week.
Interesting to note, that the last day of the week also closed at the trendline resistance (green trendline). What this means is that any upside is a trendline breakout, clear and simple. So, this flip and turn out to be a bit bigger than anticipated, and might have broken the downward trend pattern. A tad early at this point to call it, but appears as a potential point in the most bullish case scenario.
Taken together, this last week's flip appears bullish, and a bullish incoming week should follow through. Breaking above 418 and staying above it is the first bullish criteria; and 400 is now a significant support. Overall, the ranges are expanding, if not already wide. Trends are short and sharp at this point and flips like these can and will happen. Reading the chart(s) well and being nimble in thinking (instead of fixation on being right) is petinent.
Be aware, be safe.
We start, as usual, with the weekly chart. The last week closed significantly higher, with a large bullish candle that appears to have overwhelmed the bears by closing well above the gap down range from two weeks ago, and above 400. While the MACD is about to cross under, the RPM indicates favourable support for this flip bounce.
Resistance is seen at 418 ( above the weekly 55EMA) and the one to beat is 432.
The daily chart shows the spectacular flip in detail, where the week started in a mild downward draft, and then the Bullish Engulfing pattern formed mid-week. This was followed through, and the week ended with a a nice gap up and run, to close above the previous gap range, as well as above the daily 55EMA.
The MACD crossed over, and the RPM is about to cross over as well, supporting the bullish end for the week.
Interesting to note, that the last day of the week also closed at the trendline resistance (green trendline). What this means is that any upside is a trendline breakout, clear and simple. So, this flip and turn out to be a bit bigger than anticipated, and might have broken the downward trend pattern. A tad early at this point to call it, but appears as a potential point in the most bullish case scenario.
Taken together, this last week's flip appears bullish, and a bullish incoming week should follow through. Breaking above 418 and staying above it is the first bullish criteria; and 400 is now a significant support. Overall, the ranges are expanding, if not already wide. Trends are short and sharp at this point and flips like these can and will happen. Reading the chart(s) well and being nimble in thinking (instead of fixation on being right) is petinent.
Be aware, be safe.
