millsy500 said:The dow looks like its flagging now on EOD after breaking out of its diamond. looking extremely bullish to me!!
Millsy
mombasa said:You're kidding aren't you?
millsy500 said:don't think so. whats ur thoughts dude??
Millsy
mombasa said:On a TA basis only, the divergence (RSI/MACD) on the dialyand weekly charts indicate that we are still in the process of a correction down to 10,600 at the very least.
bansir said:hi mombasa,
I see a divergence as you suggest but it looks to be spread over several months on the daily chart. Could it therefore be a weak indication?
Or have I just got the chart settings wrong and you're seeing something more pronounced?
Or maybe you're looking at the futures chart?
mombasa said:That's my point - long term divergence means a big move in price.
leovirgo said:Divergences are meaningless unless they are confirmed by price action in the anticipated direction. In this case, adding more to the position whenever price moved in desired direction would have resulted in decent profits IMO.