This post is in addition to my previous posts on Twitter this morning, to see deeper Heikin-Ashi setup.
Weekly:
- Ichimoku setup is bearish, but
- Market seems unable to break and close below 100-101 key resistance for 8 weeks now! Last week we had a higher low, and again a no break of 100.
- haDelta shows some positive divergence, which suggests possiblly weaker bearish forces behind. Candle will be a key this week. If no breakdown, then mkt will target 106,60 or shoot even higher.
- EWO is deep bearish, but with a less negative value last week.
- MACD is far below zero, and if you zoom in, you see histogram is already slightly positive. (maybe a very early signal of some bullish divergence)
Daily:
- Ichimoku is still bearish, but as price could not go lower and close below 100 key, Kijun (26 days avg) started to flatten out. Volatility started to drop: reflected in both lower ATR and thinner forward Kumo. Thin forward Kumo also means less bearish support as it would be easier to break through technically.
- Heikin-Ashi candle on friday already showed momentum reversal. We may have a green, bullish candle confirmation today. haDelta/SMA3 and haOscillator have developed a bullish divergence (blue lines)
- EWO could not make a substantial lower low, and since 8/July it has also built positive divergence. (purple lines)
Levels to watch:
1. short term is Tenkan Sen at 100,90+ (if you check this is also confluent with 4H Kumo and 100wma)
2. 103,10 - 103,90 zone, marked by bearish trendline, Kijun and Kumo. Above 104 space would open to test 106-108, or even 110 (but this seems very ambitious now)
Strategy: 0,5 unit long not with 99,70 stop. Size up to 1 unit above 101. Should it break above 103,5 with strong momentum, size up to 2 units, and of course trail stop to full position.
As always, the key is not the exact entry, but the money- and risk management!
Weekly:
- Ichimoku setup is bearish, but
- Market seems unable to break and close below 100-101 key resistance for 8 weeks now! Last week we had a higher low, and again a no break of 100.
- haDelta shows some positive divergence, which suggests possiblly weaker bearish forces behind. Candle will be a key this week. If no breakdown, then mkt will target 106,60 or shoot even higher.
- EWO is deep bearish, but with a less negative value last week.
- MACD is far below zero, and if you zoom in, you see histogram is already slightly positive. (maybe a very early signal of some bullish divergence)
Daily:
- Ichimoku is still bearish, but as price could not go lower and close below 100 key, Kijun (26 days avg) started to flatten out. Volatility started to drop: reflected in both lower ATR and thinner forward Kumo. Thin forward Kumo also means less bearish support as it would be easier to break through technically.
- Heikin-Ashi candle on friday already showed momentum reversal. We may have a green, bullish candle confirmation today. haDelta/SMA3 and haOscillator have developed a bullish divergence (blue lines)
- EWO could not make a substantial lower low, and since 8/July it has also built positive divergence. (purple lines)
Levels to watch:
1. short term is Tenkan Sen at 100,90+ (if you check this is also confluent with 4H Kumo and 100wma)
2. 103,10 - 103,90 zone, marked by bearish trendline, Kijun and Kumo. Above 104 space would open to test 106-108, or even 110 (but this seems very ambitious now)
Strategy: 0,5 unit long not with 99,70 stop. Size up to 1 unit above 101. Should it break above 103,5 with strong momentum, size up to 2 units, and of course trail stop to full position.
As always, the key is not the exact entry, but the money- and risk management!
