The NIKKEI on a Weekly time frame has put in a bearish engulfing candle with dramatic tail on the top and bottom. Although not a definite, the engulfing happens many times it reverses trend.
Finally the last chart shows the Weekly Utilities, and it is touching the 20 week MA. Any move lower from the MA will surely be bearish. The trend has clearly been warning of a bearish move since the last week of APRIL.
Therefore, the one thing to take away from all this is that we are sitting on a thin line of where one goes for a full bearish mode when we cross the other side. Bulls need the markets to bounce here and retain a monthly bullish close or the Bears will own the market for a few months or more. This week will be important for both bulls and bears. Who wins this will win the next few months.
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