Published On: Tue, Mar 21st, 2017

YM(DOW JONES): Ichimoku clouds

InstaForex

Let’s look at the four-hour chart. Tenkan-sen line is below Kijun-sen, the lines are horizontal . Confirmative line Chikou Span is below the price chart, current cloud is going to reverse from ascending to descending. The instrument has broken down the cloud and slowed down its fall. One of the previous minimums of Chikou Span line is expected to be a support level (20631.5). The closest resistance level is Tenkan-sen line (20819.4). On the daily chart Tenkan-sen line is above Kijun-sen, the blue line is directed upwards, while the red one remains horizontal. Confirmative line Chikou Span is approaching the price chart from above, current cloud is ascending. The instrument has broken down Tenkan-sen and Kijun-sen lines. The closest support level is the upper border of the cloud (20660.3). The closest resistance level is Kijun-sen line (20773.5).
On the four-hour chart the instrument has broken down the cloud, forming a strong signal to sell. On the daily chart we can see a correction of the upward movement. It is recommended to open long positions at current price with the target at the level of previous maximum of Chikou Span line (20907.8) and Stop Loss at the upper border of the cloud (20660.3).
Forex Analysis

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