I am inclined to think the upward trend is about to resume. Friday started with a rally, flattened out and ended with with market close to where it started. Most of that price action is likely traders not wanting to carry positions into the long holiday weekend and selling in the afternoon. The hourly chart is showing a double top. IF it pulls back on Tuesday, I will look for support around 7325.
Capitalized NHNL and Monthly NHNL have both moved into positive territory. One can make the argument they are both bearish divergences.
The rolling 52-week NHNL is also reversing, but is not quite positive yet.
This is still a very expensive market and using extreme caution is still important. I am not staying in trades for very long at the moment-normally only a few hours at the most. Hourly charts seem to be the most effective for me and I am going to stick with that for now!
