Learning from last Week: (click here for the previous post)
Patterns:
- Previous week's 'Dark Cloud Cover' Candle Pattern takes a break after failing to make it to previous 'low' on the EOD, giving the Bulls room to get back above the 13 SMA on the EOW #W1.
- Last two candles on the EOM screen, form a Bearish Engulfing as of now #M1.
- Finding support above the previous low #D1, index moves up, to above the monthly 5 EMA, weekly 13 SMA, and the R1 of the Monthly Pivot.
- The 5 EMA on the EOW and Day Channel's mid-line, were resistances.
Moving Averages:
- The critical 5 EMA and 13 SMA on the EOD, remains crossed bearishly last week #D1.
Indicators:
- MACD and its MA stay crossed bearishly and falls below the zero line #D2.
Wrap:
Bulls manage a halt above the previous low, Dark Cloud Cover's effect keeps control of the short term screen with Bears below last week's close #W1.
Looking Forward into this Week:
Patterns:
- Dark Cloud Cover on the Weekly Charts active (Study Links here, here or elsewhere) #W1.
- Long Term Bearish engulfing in progress, to be watched until month end #M1.
Support & Resistance:
- Index supports that the Bears want to break below this week, are the Monthly 5 EMA (8110), Weekly 13 SMA (8225) and the R2 of the Month Pivot #M1.
- Resistances that the Bulls want to get above, are the 5 EMA on the EOW (8324) #W1 and the Wall for December (8494).
Moving Averages:
Indicators:
- STS, moving below the overbought, would pause the 3+ quarter long Bull domination of the Medium and Long Term Screens #W2.
Wrap :
Staying above 8225, Bulls aim to break the blue mid-line of the EOD channel #D1.Bears seek to use the Dark Cloud Cover to push and keep, the Index below the 5 EMA on the Long Term screen #M1.
