Sunday, December 14, 2014

FCPO - The Market Is Waiting.... But For What ? - 12/15/2014

The market during the past week was still in a listless mode as price hugged along the middle and bottom bands. The MACD remains negative but the space between itself and its moving average is getting tighter and it looks like it may turn positive by the coming week. The Stochastic remains positive and rising. And it may be crossing above its 50's level by the coming week. If so, this is a more bullish signal than it crossing over the 20's level. The DMI may still be negative but it seems to be turning positive by the coming week. But since the ADX is falling to 14's level, so the listless mode reading stays good.

At the weekly chart, price continues to get caught within the top and bottom band with the band begins to tighten. The MACD continues to rise and stay positive. The Stochastic stays negative after the previous week's turn, but it looks like it is having a second thoughts. The DMI is also staying negative but the D- has turned downward, this means the sellers are hesitating again. But the D+ stays flat and below the 20's, so the buyers are also afraid to go back in. The ADX is flat at 23's for the 3rd week now. Summarily, as its daily chart, the weekly chart is also telling us there is no trend in the market yet.

With the onslaught on the bears on the crude oil, this market did not follow but instead it has been just going sideway. I must say I am getting increasing bullish thoughts on this market. Of course I must emphasize there is nothing yet to confirm the bull is coming back, but there are already some subtle hints that the bull may NOT be too far away. If we can get a closing above the top band, it would be a good starting point.

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