FCPO - Market May Be Turning Again Another Possible New Buy Signal -7/22/2013

 
I sold the market on last Monday but closed the positions on Wednesday when price went above the previous day high. I did not do anything except on Friday, the chart has flashed another new buy signal.

The Stochastic has now turned positive and began to rise. But we did not get a confirmation from the price as Friday's intraday high hit above the bottom band but it was unable to maintain above it. So I would buy in when if price goes above 2302 or close above the bottom band. At the moment we are not getting a confirmation yet from the MACD and DMI which both are still staying negative. The only strong hint of bears may begin to lose their grip is the D- which is fast falling.

The weekly chart further adding strength to the bears. Price went below last week's low which was the initial signal of price closing below the bottom band. The Stochastic stays negative and continue to fall. The MACD stays positive but continue to turn its head downward, so we may see it turning negative by the coming week. The DMI is also negative. Though more confirmations are for the bears now but the flat ADX is telling us there is still no new trend in this market yet.

Summary:- the weekly chart now favours selling but there is no new trend yet. The daily chart may be going for another buy signal.