Saturday, November 17, 2012

The Dow Jones - Ichimoku Study - Week: 12 November to 16 November, 2012 - Bears reach the cloud

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

Introduction 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) marked on chart as per notes below

The Flat Kumo: Bearish Signal (Ko)
The Tenkan Sen/Kijun Sen Cross:  Strong Bullish  Signal (T)
Tenkan Sen Cross:  Weak Bearish Signal (Te)
The Chikou Span Cross:  Weak Bearish Signal (cC)  
The Kijun sen cross:  Weak Bearish Signal (K)

The Chikou Span Cross:  Strong Bullish Signal (cC)  

DJI 30: Medium Term View (or) Week Chart (or) EOW with the Ichimoku Cloud 
DJI 30 - End of Week Chart - 16 November, 2012

Learning from the Past Week: (click here for the post)

Chikou Span #1, makes a Bullish Cross of  the price line - moving above it - as this cross happens when the price is above the Kumo - its a Strong Bullish Signal.
Bulls manage to stay above the Kumo #2.
The Oscillator ticks down #3  Negative divergence is persistent.

Looking Forward into the next Week:

The Chikou Span Cross #1 is a setback for the Bears.
Bulls come back from inside the Kumo to close just above it #2.
Together the above make this a comeback story for the Bulls if they keep above the Kumo.
If a bearish cross of the Kijun Sen and Tenkan Sen #2, happens in the next few weeks, Bears would be back.