News from across the continent
- Contact Us
- |
- عربي
- |
- English
Powered By
Breaking News
Frankenstorm Technical Effects On Dow-Jones Index
Most Read
More News
- Hurricane Sandy: The largest Atlantic tropical storm on record
30/10/2012 01:18:52 PM
- Frankenstorm Technical Effects On Dow-Jones Index
30/10/2012 08:15:10 AM
- EURJPY: H&S Pattern Supports The Bearish Butterfly With Same Targets.
24/10/2012 08:59:55 AM
- USD-CAD Tracing Bullish Chart Pattern
20/10/2012 07:58:25 PM
- FTSE100: A Bearish Gartley Pattern Formed Within A Month To Threaten 5800.00 Over Four-Hour Interval.
20/10/2012 01:38:25 PM
- Long-Term EURGBP Buy Position Offers Approximately 400 Pips Of Potential Profits
16/10/2012 09:16:46 AM
- Copper: The Double Top Formation Should Cause Further Debasement
14/10/2012 09:26:35 PM
- AUD-JPY: Bear Market Hunters Are Waiting Below 79.85
09/10/2012 09:12:48 AM
Publish Date30/10/2012 08:15:10 AM
Last Update15/11/2012 09:29:11 AM
The chart’s reading of Dow-Jones index shows that the index has already collapsed after breaching the 4-month uptrend line that dominated the movements from 11990.00 zones to the significant peak near to 13600.00 levels.
Click on the image for a larger view
Thus, we can declare that the Frankenstorm “Sandy” wasn’t the responsible for the clear bearish signs appearing on the daily studies as the daily chart already offers two main negative factors to be added to the aforesaid breakout below the rising trend line as follows:
- AROON indicator reflects the strength of the bearish actions started around 13595.00 as AROON down-red- is stabilizing above the value of 70.00 while AROON up-green- is moving comfortably below the value of 30.00.
- MACD presents a bearish crossover below its histogram.
This bearishness may temporarily stop due to facing 38.2% Fibonacci level before moving lower towards 61.8%, which is our main technical objective over upcoming period.
So, what could be the effects of the Hurricane although the U.S. stock trading was canceled for a second day?
Markets await but we will not as we will depend on the monthly studies which clarify that the index will show additional downside actions based on the huge negative divergence formed on Stochastic; noting that a potential crossover is underway.
Click on the image for a larger view
Classically speaking, the technical objective of this divergence is located at 11990.00 and it is likely that the price actions will gain aggressive impetus with a break below 12500.00 regions.
On the upside , only a break above the pivotal resistance around 13350.00 will give us a rational reason for pause.
|
|
Tweet |
Comments
You must be registered as a member of the forums and logged into your account to post messages. If you do not have a member account, please Sign In or Register.