Wednesday, August 27, 2014

Last move up for Europe?

Last month European Stocks ETF (VGK) broke down from a supporting trendline causing serious technical damage to its chart(http://goldenopportunitytrading.blogspot.co.uk/2014/08/broken-europe.html).Then VGK  hit  55 Exponential moving average (weekly) and RSI(weekly) 40 and bounced and now is moving below the trendline from mid-2012.There is a substantial possibility for VGK to move again towards 61 or even 65,5.During this upmove if RSI(weekly) stays below 65 we are probably witnessing a topping pattern for european equities (double top, or head and shoulders)

Time will tell...