EUSTOXX50 - Mixed picture with short term bearish bias
Daily:
- The Ichimoku setup is bullish, with supports at 3305 and 3175 - 3210 area.
- Slow Stoch is slightly bearish, but MACD should confirm it with a bearish cross too, or else it can easily turn back to bullish again.
- DMI shows decreasing confidence, but the bias is still bullish
- Heiken Ashi candles show consolidation and undecision for the last four days (both uper and lower wicks)
- HA Oscillator is still bullish, but haDelta/SMA3 gives somehow a warning signal: it looks like a cross down happenning below the zero line. In fact we should see a bearish (red) HA candle and a daily close below Tenkan Sen at 3320 to say with higher confidence a pull back is due. In case of a pull back the retracement tgt will be ard Kijun Sen at 3210.
4 Hrs:
Consolidation starts:
- Price crossed below Kijun Sen. Weak bearish Tenkan/Kijun cross, Chikou hits Price, and is about to make a weak bearish cross below candles too
- zig-zag DMI and low ADX also shows the index stopped trending on the lower time frame.
- Heiken Ashi candles turning to bearish again, bearish haDelta cross to happen below zero line. The Oscillator turned bearish as well.
It looks like there is good chance for further pull back, but I doubt we could see a bearish trend reversal as the Kumo is very thick below Price. My initial tgt is somewhere between Kumo bottom and 100 WMA so 3220-3250.
- The Ichimoku setup is bullish, with supports at 3305 and 3175 - 3210 area.
- Slow Stoch is slightly bearish, but MACD should confirm it with a bearish cross too, or else it can easily turn back to bullish again.
- DMI shows decreasing confidence, but the bias is still bullish
- Heiken Ashi candles show consolidation and undecision for the last four days (both uper and lower wicks)
- HA Oscillator is still bullish, but haDelta/SMA3 gives somehow a warning signal: it looks like a cross down happenning below the zero line. In fact we should see a bearish (red) HA candle and a daily close below Tenkan Sen at 3320 to say with higher confidence a pull back is due. In case of a pull back the retracement tgt will be ard Kijun Sen at 3210.
4 Hrs:
Consolidation starts:
- Price crossed below Kijun Sen. Weak bearish Tenkan/Kijun cross, Chikou hits Price, and is about to make a weak bearish cross below candles too
- zig-zag DMI and low ADX also shows the index stopped trending on the lower time frame.
- Heiken Ashi candles turning to bearish again, bearish haDelta cross to happen below zero line. The Oscillator turned bearish as well.
It looks like there is good chance for further pull back, but I doubt we could see a bearish trend reversal as the Kumo is very thick below Price. My initial tgt is somewhere between Kumo bottom and 100 WMA so 3220-3250.
