Both the Weekly and Daily time frames show Eurostoxx50 has started its bullish consolidation.
Which direction will next leg be, we can not tell from this setup right now.
- The strategic weekly setup is bullish, with strong support zone at 3115-3156. Right now Chikou Span hit past Kumo top, which acts as resistance ahead of market. Price got a bit far away from Kijun Sen, this should also make bulls cautious here a bit. Heikin-Ashi signals momentum exhaustion.
- Below daily Kijun 3267 space would open to a deeper retracement, and market would probably test daily 100wma and weekly Tenkan at 3156. That is the value level where we should look for next buy signal.
If you think in a swing short position, do it only with small size (0,5 risk unit) and strict tight stop.
Which direction will next leg be, we can not tell from this setup right now.
- The strategic weekly setup is bullish, with strong support zone at 3115-3156. Right now Chikou Span hit past Kumo top, which acts as resistance ahead of market. Price got a bit far away from Kijun Sen, this should also make bulls cautious here a bit. Heikin-Ashi signals momentum exhaustion.
- Below daily Kijun 3267 space would open to a deeper retracement, and market would probably test daily 100wma and weekly Tenkan at 3156. That is the value level where we should look for next buy signal.
If you think in a swing short position, do it only with small size (0,5 risk unit) and strict tight stop.