FCPO - The Bulls Fight On - 9/9/2013

 

A fresh sell signal came on 3/9 when price closed below the top band with the Stochastic turning negative. I sold on the next day when price went below signal day low. As I last discussed here, I would be very careful if I need to sell this market as the bulls has demonstrated their dominance. So I kept the prior day high as my stop. That stop was swiftly hit on the next day when price went lower intraday and recovered all lost ground. So the short lived trade was closed with a small loss.

Another new buy signal came on last Friday as price closed above the top band with the MACD turned positive. I would buy on the coming week if price can go above the signal day high of 2461. The Stochastic is turning but it is still negative. The DMI remains positive but the ADX has gone flat again. So there is a chance that we may see a sideway market next. But I notice that the D+ is fierce with its outward stretching action, so there is a possibility that the bulls may stage another round of rampaging.

 
The weekly chart is still on the side of the bulls. The MACD and Stochastic continues their ascent. The Stochastic has just crossed above its important 50's level. Price has been able to stay above the top band which mean the bull is still in action. The DMI has turned neutral as both the D+ and D- is locked at 22's. The ADX is still falling. The current reading of these 2 item is:- the prior trend of bear cycle has ended but the market may be going sideway. I would need to see the D+ spread outward fast to show me the strength of the bulls kicking in.

Overall, the charts are still favoring the bulls. So I continue to pledge my confidence on a possible super bull cycle.