Here is my favorite RSI cross that I use on daily & weekly charts to decide a trade along with other indicators. Take a look at the chart closely and ignore moving averages for the time being. Look at the total strength, decline in trading volume without actually looking at the volume chart, and a decline in trend strength / volatility.
Fast RSI (Bi-weekly) is below the slow RSI (Monthly / 4-weeks): Bearish. However, both RSI are nearly bottomed on a weekly time-frame.
What would you be in this situation: A bull or a bear?
It is advisable to remain neutral until you see a trend change but will you fomo a missing entry? That is the question.
The price will test Fib88.6% for the past high and low, which is 6800 area nearly. Currently it is trading close to weekly MA50 and/or daily MA365. A failure to hold above these levels will result a test of 6800. Any move below 6440 will nullify Feb 2018 gains and the price will test 4700 area in coming months. That is all bearish perspective.
However we see daily as well as weekly RSI to be in buy zone. And we know 7200 area is pretty strong as well as 6000 demand zone. What ever happens, my perspective remains bullish till Jun 23.
Fast RSI (Bi-weekly) is below the slow RSI (Monthly / 4-weeks): Bearish. However, both RSI are nearly bottomed on a weekly time-frame.
What would you be in this situation: A bull or a bear?
It is advisable to remain neutral until you see a trend change but will you fomo a missing entry? That is the question.
The price will test Fib88.6% for the past high and low, which is 6800 area nearly. Currently it is trading close to weekly MA50 and/or daily MA365. A failure to hold above these levels will result a test of 6800. Any move below 6440 will nullify Feb 2018 gains and the price will test 4700 area in coming months. That is all bearish perspective.
However we see daily as well as weekly RSI to be in buy zone. And we know 7200 area is pretty strong as well as 6000 demand zone. What ever happens, my perspective remains bullish till Jun 23.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.