FKLI - The Bulls Are Fighting Back But Can They Win ? - 9/16/2013

The previous week I was thinking that a new trend of a continuation of the prior trend my blow up in our face could be possible because of the high ADX. The blowup came on 9/9 with price went up 39.5 points in  a day. The next day followed through with a gap. I bought in when price broke above its recent fractal high of 1723 and closed off on last Friday when price went below the prior day low of 1764.50.
The Stochastic is now near the overbought zone while MACD is positive but remain below the zero signal line. The DMI has also turned positive. Price is above the top band. All these are favoring the bulls. The ADX has been falling which is indicating the end of the prior trend. Since it is still falling, I would pay more attention to the Stochastic over the other indicators.
 
At the weekly chart, the previous week I mentioned about either the bears may be gathering strength to puch down the price or the government institutions may be supporting the market. It turned out that the bulls are making a fightback as price managed to close back above the bottom band and the DMI has turned positive again. So with these 2 and if I am trading the weekly chart, I would buy if when price goes above this week's high of 1782. Meanwhile both the Stochastic and MACD remain negative though they are trying to turn the corner.
Last week's price action has once again demonstrate the mentality and working of the government as they are NOT willing to let go of the market. With more and more of such intervention in the market, when we come to a point when it is beyond their control, our market will collapse beyond recognition in our face. I think our government is not taking a lesson from Venezuela which their government has been intervening in almost every aspect of the economy and their country is now seeing the decay and collapse of many of their infrastructures and services.