Dow moved as anticipated and finally stalled at the earlier discussed resistance but it did give some anxious moments. As one can see from the weekly chart (sufficiently annotated) below we seem to have made a shooting star right at the resistance. Breaking below 7200 can go on to test 6950.
Where as on the daily we seem to have made a hidden bearish divergence and the Price seems to be trapped between the 50 and 20 periods moving averages. Anyway we seem to have risen from the lows in one straight move, so in all probability Price would go down to test those lows or at least partially retrace half way down, like I mentioned above 7000/6950 is up for testing times. And as for all things bullish I would just wrap this post by mentioning that any push (lets call it a shove!) above 7550 will lead for another 300 pointer upmove.
"As you think, so shall you become." Bruce Lee
1 comment:
I think it is a reverse Negative Divergence.
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