Middle of nowhere

Today i redrew the charts for the Dow Jones and the Straits Times Index cos things were starting to get messy. On a personal note, i dun reli like to add in the fibbonacci retracement level cos there are so many horizontal lines so i gotten rid of those on the Dow Jones chart. It still remain intact for the STI chart.

For the latest closing, Dow Jones formed a harami candlestick due to a black candlestick on the 2nd previous closing and a white candlestick on the previous closing whose open and close are within the black candlestick. The harami candlestick formation is slightly bullish so i am expecting the Dow Jones to trend sideways or go down until further technical indicators suggest otherwise. Notice also how the white candlestick has a heavier volume. Dow Jones will be hitting the resistive trendline soon so a break of this trendline will be good news since this trendline has been resisted 3 times.


On a side note, i kinda toy with the idea of the point of death on the chart. It's just a term coined by me cos i was wondering if the Dow Jones failed to break the resistive trendline at all and break the support of 12800 in subsequent closings, this may have very bearish implications. So the point of death is the intersection of the horizontal support line of 12800 and the resistive trendline. But i tink the chances of this happening should be quite low.

Dow Jones Industrial Average Chart:


STI formed a dark cloud cover today and the black candlestick today closed with a heavier volume. I am expecting it not to break the 200d EMA.

Straits Times Index Chart:


CSC has been in the top movers list recently. I spotted something bearish on this chart today. It formed a dark cloud cover on the $0.335 resistance with heavy volume. Notice how the $0.335 is very near to the 100d EMA which suggest that the 100d EMA is acting as a resistance. A dark cloud cover formed near a resistance level is very bearish so a trade exit should perhaps be warranted.

CSC Chart: