Learning from last Week: (click here for the previous post)
Patterns:
- The Top of the Weekly Channel - which we had been waiting on from April 2014 (post) kept the Bulls down earlier in the month, Bulls come back with 2 green candles closing the week above 8809 #W1.
- 'Bullish Engulfing' on the Long Term Charts, can become a Three Outside Up, trigger level is at 8809 as studied in earlier weeks #M1.
- Last week's candle was a Doji #W1.
- Index keeps above the earlier resistance i.e. the January close, 8809, all week. Bulls also keep above the 5 EMA on the EOD #D1.
Moving Averages:
- The critical 5 EMA and 13 SMA on the EOD, are crossed Bullishly #D1.
Indicators:
- STS stays in the over bought #W2.
Wrap:
Bulls clear and keep above, the January close, 8809 #W1.
Bears back to defending the previous ATH (All Time High) and the Wall for February #W1.
Bears back to defending the previous ATH (All Time High) and the Wall for February #W1.
Looking Forward into this Week:
Patterns:
- Channel Top resistance of the Medium Term Channel, important for Bears #W1.
- 'Bullish Engulfing' on the Long Term Charts, becoming a Three Outside Up (Study Links here, here or elsewhere) to be watched for #M1.
- Possible effect of the last Weekly candle - the Doji #W1 - worth a look (Study Links here, here or elsewhere)
Support & Resistance:
- Index resistances that the Bulls would want to get above this week, are the Wall for February 8952 and the ATH 8997.
- Support Levels that the Bears would seek get below, are 8809 and 8528 (13 SMA on the Weekly Charts).
Moving Averages:
Indicators:
- STS, staying above the overbought line, demonstrates the Bull domination of the Medium and Long Term Screens #W2.
Wrap :
Index staying below the Wall, Bears can still get back into the game for the month.Bulls look forward to a Three Outside Up confirming, with a February Close above 8809 #M1 and some new ATHs (All Time Highs) in the meanwhile.
