To me, it appears that a potential double top formation could be formed. In addition, it also appears that a bearish rising wedge is in the works.
Below is my simple chart on Noble:
It looks bad. The MFI failed to push to a new high even though Noble did. In addition, the volume is decreasing as the price was increasing... a volume divergence.
Indicators like CCI and %R indicate overbought levels, while stochastics has cut down to become bearish.
Be fearful when everyone is greedy. Clearly, commodities was super bullish, and many has become very greedy on it. I remain fearful of commodities, and would rather be cautious and sit out it's bull run, if there's any more.
Hi JW,
ReplyDeleteI must learn how to use the GMMA.
The short term negative divergence between price and volume is quite obvious. Overall, this counter looks a bit tired.
Not vested.
I am with you on this, however I also see a potential inverse H&S forming. Lets see how this pans out.
ReplyDeleteIm vested in this counter. I opened shorts on this one last friday.
Hi AK71,
ReplyDeleteagreed. I'm not vested as well.
Hi mark,
thanks for dropping by. I didn't open shorts as well. Was helping a friend check it :)
Stock market is not all there is to it. You have to hit the books, browse the Internet, ask the experts and listen to the news in order to take advantage of the profit possibilities and opportunities in the financial plan.
ReplyDelete