Saturday, September 22, 2012

The Dow Jones - Ichimoku Study - Week: 17 Sept to 21 Sept, 2012 - Bearish Harami

                               .....Regulars can skip below and go straight to the chart......

Introduction / Preamble can be read at this link (click). 

Quick Reference : 
Chikou Span - pink line,
Kijun Sen - blue line, 
Senkou Span A - black line, 
Senkou Span B - grey line, 
Kumo - grey shaded area,
Tenkan Sen - red line.

Previous Signals seen on DJI 30 - Week Chart (EOW) as marked on chart below:

Kumo Breakout: Bullish Signal (B)
The Flat Kumo: Bearish Signal (Ko)
The Kijun sen cross:  Strong Bullish Signal (K)
Tenkan Sen Cross:  Strong Bullish Signal (Te)
The Tenkan Sen/Kijun Sen Cross:  Strong Bullish  Signal (T)

DJI 30: Medium Term View (or) Week Chart (or) EOW with the Ichimoku Cloud: 
DJI 30 - End of Week Chart - 21 Sept, 2012 

Learning from the Past Week: (click here for the post)
The Negative divergence kicks in with a red candle - and a Bearish Harami.
Chikou Span - flattens for another dive at the price line.
The Oscillator ticks up, divergence is persistent.

Looking Forward into the next Week:
View is same as last week...
The negative divergence, developing on the Oscillator - remains the drag, for the Bulls.
Chikou Span staying above the price - Bulls can look at the 2008 highs next.
Bears would need to break their nemesis, the MVWAP 34 on the downside.
The position of the Kijun Sen and Tenkan Sen continues to auger a bearish Cross, unless the Bulls keep the momentum.. up.