Price broke below and closed below the cloud yesterday and the trend has changed from bullish to bearish. A Three Black Crows candlestick price pattern adds to the bearish hints. Conversion and Base lines had a bearish crossover earlier, hinting of a bearish price trend. Lagging Span is below price of 26 days ago but is above the cloud. MACD is turning bearish with the fast line already below the zero line and the slow line about to cross below the zero line. We think price is likely to move lower to the next support level at $96.85 in the next 2-3 weeks.
Outlook From a Double Top high at $239.13, price went to a low of $210.60. From this low, price has recovered, breaking above the cloud 2 days ago to confirm the change in trend direction. During the 2 days after price broke above the cloud, the two candles were strong. Conversion and Base lines also had a bullish crossover, confirming the bullish trend. Lagging Span is above price of 26 periods ago and is about to break above the cloud as well. Price is also at the lower end of a gap. If price is able to move above $233, it should move higher to test the previous high of $239.13. MACD has turned bullish with both its lines crossing above the zero line recently. MACD’s momentum is strong and should be able to support a price push higher to $239.13
Outlook Price broke above the cloud 2 days ago and this could be the start of a new uptrend. Price has also crossed above a previous high at $68, which triggered a Ichimoku reversal in trend. Price has a few days earlier broken above a 5-month downtrend line. Conversion and Base lines also had a bullish crossover a few days before price moved above the cloud. Lagging Span is above price of 26 days ago but has not yet moved above the cloud. During the decline, MACD has been giving divergence warnings against price. While price was moving lower, MACD had failed to move lower but instead moved higher. This is a hint of a possible bottom forming and we have now see price moving above the cloud. MACD has now turned bullish with both its line above the zero line.
Outlook Price moved above the cloud 2 days ago and yesterday price had a higher closing above the cloud. Price has also moved above the Conversion and Base lines. Both Conversion and Bases lines had a bullish crossover earlier confirming the bullish trend. Lagging Span is above price of 26 periods ago but is still below the cloud at the moment. Price could be moving higher to test the previous high. Price is also at the Fibonacci 62% of the decline from $97.37 to $86.44. MACD is strong and bullish at the moment with both its lines above the zero line. MACD’s histogram is also picking up momentum and this could drive price above the Fibonacci 62% correction point. We think price can move higher to test the high of $96.20
Outlook Price moved above the cloud yesterday with a strong and larger than average bullish candle. It was also almost twice the size of the candle the previous day. This could be a hint of a change in trend. Price has tried to break below the cloud but was not successful but this time the breakout looks a lot stronger than before. Both Conversion and Base lines had a bullish crossover earlier hinting of a bullish trend. MACD is also very strong and bullish with both its line high above the zero line. Both MACD’s lines are also rising at a strong gradient, which is a hint of a strong bullish trend. We think price should be able to test the previous high of $83.85.
