I went short the Ftse last night (will I soon regret it?)
The upper Bollinger band is at 5873. There was Doji formation last night on the future on the Ftse. This is a reversal signal.
There is a minor negative divergence on the RSI on 9 days.
Stochastics are in the overbought area and showing some weakness. The rate of change indicator on 5 days reached its highest reading since 2nd June on 10th April. It has come down a bit, a further element suggesting loss of momentum.
Macd remains positive.
The ADX indicator has been falling since 23rd March and currently stands at 22.36, suggesting loss of directionality.
Conclusion. I personally see more chances of a downside than upside in the near future. Medium term, there is enough evidence that selling pressure has very much diminished.
The text above does not constitute financial advice.
The upper Bollinger band is at 5873. There was Doji formation last night on the future on the Ftse. This is a reversal signal.
There is a minor negative divergence on the RSI on 9 days.
Stochastics are in the overbought area and showing some weakness. The rate of change indicator on 5 days reached its highest reading since 2nd June on 10th April. It has come down a bit, a further element suggesting loss of momentum.
Macd remains positive.
The ADX indicator has been falling since 23rd March and currently stands at 22.36, suggesting loss of directionality.
Conclusion. I personally see more chances of a downside than upside in the near future. Medium term, there is enough evidence that selling pressure has very much diminished.
The text above does not constitute financial advice.
