NewVision, yes, the Naz is out of "overbought" territory, but still far from "oversold" territory, where meaningful advances can start. Furthermore, if you look at your chart, observe that the fast line (MACD) is just about to cross the slow one, a typical trend change. Moreover, the histogram clearly indicates that the upside momentum has collapsed, and until we spend some time in "negative territory", hoping for a rally, is at best dangerous, at worst, well...
As you can see, I am still donning my bearsuit, by the end of this week, it will be a month since I put it on, and looking at what I "left on the table" by being "over cautious", I don't see much. Frankly, the pattern of the last three weeks is a masterfully choreographed distribution top, orchestrated by the various "powers", as LG used to say, "think like a criminal", since "they" surely are. (VBG).
One more little "indicator", in the last two weeks, Haim's daily screen has at best 5% buys vs 95% sells.
Zeev |
