South Africa’s JSE Overall Index broke resistance at 33000 to signal a primary advance. Target for the initial advance is 35000*. Bearish divergence on 13-week Twiggs Money Flow, however, warns of medium-term selling pressure; we should wait for confirmation from a retracement that respects the new support level. The indicator is rising in the long-term, however, indicating buying support.
* Target calculation: 33 + ( 33 – 31 ) = 35
Brazil’s Bovespa index is testing resistance at 60000. Breakout would confirm a primary up-trend, but bearish divergence on 13-week Twiggs Money Flow warns of selling pressure. Again, we need to wait for retracement to confirm the breakout.
* Target calculation: 60 + ( 60 – 55 ) = 65
Start of a correction :three decent blue candles on the weekly chart followed by a correction of at least two red candles that respects the preceding low
Sir: Acc. to this definition given by you, is crude now in a down trend ? If yes pls provide your target calculation.
Regards
Gaurav
Wait for breakout above $115/barrel (confirming the correction is over). Target would be the 2011 high of $126.