Observations Short Term Volume Flows:
1) recent flows were fairly one sided and a good saturation cluster has developped (top of the page)
2) buyers look tired but the saller haven't started their bear raids (middle of the page)
3) buyers are loosing control by allowing single day bear spikes (bottom of the page)
Observations Medium Term Volume Flows (MA55):
1) the medium term volume flows look to have reached their Overbought target area (Bear market Range is lower than Bull range)
2) the reached high is below the JAN/ FEB high, i.e. we see a weaker Volume support of the recent move the curve has turned down
3) recent lower highs provided good quality signals (only 1 bad in 2006)
1) the medium term volume flows look to have reached their Overbought target area (Bear market Range is lower than Bull range)
2) the reached high is below the JAN/ FEB high, i.e. we see a weaker Volume support of the recent move the curve has turned down
3) recent lower highs provided good quality signals (only 1 bad in 2006)
Conclusion:
Sellers seem to wait for month end to realign and potentailly re-attack. The near future will prove whether they can re-gain control.
The structures clearly favor the bearish case, but bear in mind that consolidations come in 2 dimensions, ie. TIME & PRICE.
A back and forth around the same price level and thereby holding up through time could also fullfill the objectives of a consolidation, although unlikely...
No comments:
Post a Comment