October 29, 2018

Market outlook

Daily charts:
- trend is down on daily charts
- today NF closed 2.2% in positive at 10251
- AD was 3:1
- VIX up 4%

- option writing support 10000

Has the trend changed to up? Is the correction over?
- it is always easy to jump in say this is the bottom or the top
- and there have been many false bottoms and tops this year
- a system driven approach will have its own definition
- so for kplswing (n=20) the buy will come on close above 11035
- this level will keep dropping down fast (note SL is 10 bar high ...10700)
- another way to see is break of a swing high... the significant one is 10700 level
- traders following pure price action will probably say the bottom is made and now trend will be up

- it does not matter which method you follow as long as you are consistent




5 min charts:
- traded long as per arrows



Hourly charts:
- buy signal got generated today
- prev short trade got stopped around 10200 F (grey line)




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