FKLI - Market Refuses To Yield - 3/23/2015

 


I went back to sell on last Monday when price went below 1772 was a bad trade as on the same day price reversed back up. This was a bad omen, I immediately place a stop above Monday's high as to limit my loss. And my worry turned out to be warranted as price continued to go higher and ended up close above the bottom band with a complimentary confirmation from the Stochastic. I closed off my losing position and bought in on last Wednesday when price went higher than the signal day high. The MACD has turned positive and so is the DMI. But please take note the ADX has not been to well as it is still falling and is below the 20's. So i do not expect a strong trend in this market. I am adjusting my stop to below the middle band. 


 

The weekly chart has somehow reversed the previous weeks' bearishness as price went back up and closed above the middle band again. The MACD and Stochastic continue to stay positive and rising after the previous week's hesitation. The DMI stays negative with the D- falling back toward the 30's, this means the sellers are getting out. But the ADX continues to stay flat and below the 20's, so this is still a listless market.
The big picture stays extreme bearish, I continue to place more weight on the sell sides over the buy. Of course as always, whatever theory, ideas and plans formed over the market is for the big picture, trading must always stick loyally to the signals provided by our trading system.