FCPO -  Bulls May Getting Ready To Strike Soon -5/227/2013

The bulls have been hesitating but they seem to be getting stronger. All the indicators are positive and rising and complimenting the current upmove. Price was able to close above the recent fractal high and begin to pull away from that area.

The only indicator that has not join in the party is the ADX which stays flat below the 20's signal line. This is telling us that the trend is still not present in the market. With the lowly ADX and the Stochastic now has already entering into the overbought area, we may see some congestion ahead before we can get the real blowup. Place stop at the top band minus 3 points.

 
The weekly chart is finally turning more biased to the bulls as price is able to stay above the bottom band . Price went higher than last week's high is a confirmation of a buy signal. The Stochastic has now crossed above its 20's signal line, by itself is another initial buy signal. Since this is now complimenting the price above the bottom band singal, so we officially has a solid buy signal. The MACD continues to stay positive and rising and it is now confirming the formation of a bullish divergence with a multiple bottoms that have been formed since 5/10/2012, 16/11/2012, 14/12/2012 and 10/5/2013. But I would not jump with joy yet as the DMI remains negative and the ADX stays flat. The flat ADX means that there is still no new trend in the market yet.

Regardless of what the foreign experts have been saying about this market, I have been getting increasing bullish base on all the subtle signals from chart readings. And now we just may see a new market bullish cycle soon.