FCPO - The Market May Get Listless - 1/6/2014

Price went down to test the middle band on the last trading day of 2013 and missed my stop by 1 point. On the same day price went closed above the top band.  With that I moved my stop upward to the top band and was immediately stopped out on the next day when price came down again and closed below the top band. I have not engage any new trade as there was no flesh buy or sell signal.

The MACD and Stochastic remain positive and rising. The DMI also remain positive but the gap between D+ and D- is closing up fast. The falling D+ and fast rising D- are telling us the buying is diminishing and the selling has been getting stronger. The ADX has begun to fall again which is indicating the end of the prior trend. As it may goes below the 20's signal line by the coming week, we may be witnessing the beginning of another listless market again.

The weekly chart remains murky as the Stochastic is negative while the MACD is positive and rising. Though price stays above the top band which is positive for the bull but the Japanese Candlestick is a Doji Star which is one of those undecided class of Candlesticks. The ADX has begun to rise but I would not get too exciting about it yet unless price can break above its recent fractal high of 2692.

I think the market is stuck in another listless market for the time being. For the short term trading, I would buy again if price can go above 2669 or sell if price goes below 2582. Since there is little trend, I would use the prior day high/low as stop after entering in a new trade.