FCPO - Bull Making A
Small Comeback - 12/30/2013
My stop was hit on last Monday and a new buy signal was in on the same day. I bought in on the next day when price went above the signal day high. I am moving my stop from the bottom band to the middle band. The DMI and MACD have turned positive again. The Stochastic is rising nicely. The ADX has turned flat and this may be signaling the beginning of a new cycle.
I would prefer to see a breakup above the top band as a confirmation of a continuation of the previous bullish cycle.
The weekly chart is not giving me any confirmation yet as the Stochastic is negative but the MACD is positive. The D+ has gone back above the flat ADX, so there may be an indication that the market is getting ready for another up move. But the flat ADX and contradicting indicators are telling us that the market is still in a range bound situation. I would need to see price close above 2692 to confirm the continuation of the previous bullish move.
The monthly chart's Stochastic and MACD continue to rise and price stays above the middle band. All these are comfortable for the bull. But the ADX continues to fall, so there is no new trend in the market yet. As price has already closed above its recent fractal high of 2593 and it has managed to stay above that level, I think it would safe to conclude that the market may be gathering strength to push further up.
As 2013 will be drawing to an end by the coming week, I would like to wish everyone a coming new year of security, good health and prosperity.
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