Money Flow Index Flashes Rare Signal

2021년 12월 31일

This is the 5D timeframe on Helkin Ashi.

It seems that the Money flow index has flashed a very rare oversold signal now these green and red circles should not be used for trading as the creator of the indicator explains but we can have a look past to see what happened when these signals flashed in the extreme oversold zone.

So the green circles in the oversold area have only flashes 5 times in Bitcoins history, a very rare occurrence.

These are 5D candles so the dates below are the starting dates of the candles.

18th October 2011
08th September 2014
15th July 2018
15th July 2021
27 December 2021

So just because this signal flashes in the oversold area doesn't exactly mean we going up , 08th September 2014 and 15th July 2018 we went down and 18th October 2011 and 15th July 2021 we went up so right now it's a 50/50.

So even it failed to call the bottom every time all these signals had an impulse move to the upside except 08th September 2014 .

So now it brings me to the most interesting find which gives yet us another clue into the future . Whenever price comes down into this oversold area we always form some sort of bullish divergence that triggers massive moves to the upside and right now we could be doing just that repeating a divergence fractal from 15th July 2018/Dec 2018 and 15th July 2021/27 dec 2021 , if you notice both hit the oversold area at 20 then about 150 days later hit a lower low, this could be in fact the same divergence playing out , on sunday we will get a better picture once the candle closes.

Also at this very moment we are printing what seems to be a heikin reversal candle. Check out the picture below.



Check out TA's below to see where the market could top for 2022

2022년 1월 1일

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weekly divergence confirmed on money flow on the weekly

2022년 1월 2일

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So here is a update on the next 5D candle we can see a clear bounce