Gentlemen, I think you're reading too much into the technical indicators. All of your moving averages are heading down. This is a sign of weakness. The MACD indicator which measures the trend is turning negative. Since this is an intermediate term indicator, it shouldn't be ignored.
For those of you who can pull up a 60 minute chart, the OSX looks like it is headed straight down, in spite of a few rally points.
Yes, we may see a reversal today or tomorrow. Yes, we may see a bounce off the 50 or 200 day moving average, (the fact that both of these moving averages are so close to each other indicates the weakness of the OSX.)
I think any bounce we see will be a weak bounce. An opportunity to lock in profits, for those who have them. I don't think the indicators are showing we'll see the OSX breaking out to a new price high on this next move.
I could be wrong of course, the indicators could strengthen in the next few days, but I'd like to know what the catalyst is going to be. OSX 90-93 is a profit taking opportunity in my opinion. Since I've already locked in my profits, I'll continue to sit on the sidelines in this price range until the OSX can break out to a new high on above average volume.
Respectfully submitted,
dabum |
