Analysis method - “Trend Potential”
September 19, 2018
Daily chart: Downward dynamics of the market preserves in direction of the 5837.62 handle (lower Bollinger band). Growth of ADX activity is moderate, therefore, decline may have smooth mode as well.
H4: We note local support at the area of lower Bollinger band (6142.09), that may slow down decline intraday.
H1: Bears are breaking lower Bollinger band, that is a signal of decline continuation. But ADX resides in a very weak zone, that leaves high probability of prior correction towards middle band (6295.44).
Expectations: So, we expect pullback towards the 6295.44 level and then continuation of quotes’ decline in direction 6142.09.
Trading recommendations: Shorts from the 6295.44 level towards 6142.09.