21 Mar 2016 - Not Giving Up

My thoughts of this rise is pretty much a formality if the market is indeed turning lower.  This would allow the weekly to show some tail on a reversal candle with a long negative body.  Of course we would need to wait till the end of the week to confirm this, and we just started the week, so there are plenty of time to prove me wrong.  I am not saying that this is a certainty, but more of a possibility to watch for.  Today could be the end of the run up, as the patterns seem to have made a diagonal triangle, but without any of our signals confirming we really are just speculating.

On the last blog, I discussed the fact that our "Sentiment" has turned bullish, and so again I cannot stress enough to stay cautious on both ends of the trade as the signal sits near the bull / bear territory.  It's easier if we do get signals close to extremes which allows us to distance our trade from any negative effect.  This is why ST's and PA's are a very important part of our strategy.  Initial trades that have a possibility of price running are ideal, so that any pull back still give us room to be patient with our position.

The 60 min. chart has now put in another neg. divergence, and pushes closer to a reversal.  Although not a sure thing it does increase the chance of one.  So we will wait and see if we can get an early ST signal for a sell trigger.

SEN: Bullish
ST: UP
PA: UP