Long term technicals showing short signals on all cloud parameters
The problem with shorting at the current price is the 'C-Clamp formation' of tenkan and kijun which basically says that price needs to catch up with the equilibrium point or that equilibrium needs to catch up with price. The odds of a sudden drop or further bearish momentum here are less likely compared to more sideways or a bounce up. Better explanation on the C-Clamp formation from ChaosTrader here www.youtube.com/watch?v=y0NqJzLn...
Another interesting formation is a falling wedge which looks to bounce around $980 which is also in the technical support zone and psychological level at $1000. Once it breaks $1000 though, there may be a massive freefall to the bottom of the support zone range around $730-800. Price should bounce around in the wedge as I've drawn and come to a decision point around November 2017.
- Price below cloud
- Lagging span below price and cloud
- (almost) bearish kumo twist
The problem with shorting at the current price is the 'C-Clamp formation' of tenkan and kijun which basically says that price needs to catch up with the equilibrium point or that equilibrium needs to catch up with price. The odds of a sudden drop or further bearish momentum here are less likely compared to more sideways or a bounce up. Better explanation on the C-Clamp formation from ChaosTrader here www.youtube.com/watch?v=y0NqJzLn...
Another interesting formation is a falling wedge which looks to bounce around $980 which is also in the technical support zone and psychological level at $1000. Once it breaks $1000 though, there may be a massive freefall to the bottom of the support zone range around $730-800. Price should bounce around in the wedge as I've drawn and come to a decision point around November 2017.