Ron, wish I could agree with that technical assessment
About the bands, my observations have been that when they "pinch" like that, the breakout generally goes in the direction of the existing trend. Those candlesticks in downtrends are very tricky, when a reveral shows, it really should be accompanied by high volume, and confirmed by other indicators, moving averages, support, and if the flights are arriving on time at SEA-TAC (well, maybe not the last one lol) Just like when bearish engulfing sticks and the like are deceptive in downtrends, giving hope to the bears, the opposite is true. I have read this a few times, and have noticed it a lot recently, though like anything else it is not infallible by any means!
A few non confirmation indications here (besides pathetic volume) for yesterdays hammer stick, would be: 1) The negative crossover of the Moving Averages 2) The %R, weak as can be yesterday, today, last week, and for 2 months. Yuck. 3) The daily stochastic From this chart, those are the most glaring. Probably there is more, but the old KISS strategy (K-eep I-t S-imple S-tupid) would simply say, this is still a downtrend until proven otherwise!
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All I can say is, can your assessment please come true instead? At least back up to the 50 day moving average? If we all say a prayer....... |
