Long term basis: Yearly bearish divergence with our stochastic and MACD => 500 as a first target
On a yearly basis, a bullish parallels pattern was in progress. The status for our MACD is a bearish divergence. Furthermore, our MACD and stochastic are overbought at the same period: a sharp decline is expected. Below 700, the collapse in progress will amplify. 500 and LY (185) are our next supports.
On a quarterly basis, Bollinger bands spread increase. The dynamic for our 7 quarters moving average is strong and will increase for 5 periods or more. A bearish A type crossover is in progress with our 7 / 23 quarters moving averages. Since the end of March 08 a bearish divergence is the status for our MACD. This is the status for our stochastic since December 2007. The bear move is in progress for 3 quarters at least.
On a monthly basis; a bearish crossover PM / MM + increase of the dynamic for UM. A bearish A type crossover is in progress for our 7 / 23 months moving averages. The bear trend for our moving averages will increase until mid 2009 or +. The status for our stochastic and MACD is a bearish non-crossover. A bearish parallel pattern is in progress for some months (4 to 15?). Below 700, 500 and LY (114) are our next targets.
Idea: use bearish parallels rules.
R = MW (952); S = 700, LW (688), 500, –
Medium term: decline as long as MW (952) = resistance
On a weekly basis, Bollinger bands spread is far away from its minimal level. Stochastic and MACD are not yet overbought. Next pattern for our 7 / 23 weeks moving averages could be a bearish non-crossover. Next objective is PW (745) and LW (688).
Idea: with a bearish non-crossover as a status for our 7 / 23 moving averages, a new bear trend will develop.
R = MW (952); S= PW (745), 700, LW (688)
Short term: decline without bearish ATDMF pattern
On a daily basis, Bollinger bands spread is minimal and UD / LD spread is extending. A bearish A type crossover is the status for our 7 / 23 days moving averages. Our stochastic and MACD are not oversold. Without a bear trend for the weekly time frame, the decline in progress is not yet a bear trend. With a bearish crossover PD / MD + divergence for UD and LD => a bearish parallel pattern will be the status for our Bollinger bands.
Idea: towards LW with a bearish non-crossover for stochastic / MACD. With parallel, use parallel rules.
R = MD (878); S= PW (745), LW (688)
Conclusion: monthly bearish parallel pattern in progress for some months.