On Goldstone Resources market (LSE:GRL) the
southward breakout that occurred within the last two months proved to be a
false one. The price then moved back inside the Trendlines, later breaking the
upper Trendline to the upside, and trading further upwards in a turbulent manner.
What happen in other businesses are not what happen
in the trading world. The outlook on the market is bearish (though things are tumultuous).
The price keeps trading atop the upper Trendline while the demand levels at 1.80
and 1.60 are supposed to do a good job in checking any southwards threats from
the bears. The RSI period 14 is above the level 60, going towards the level 70.
The outlook here is indeed bullish.
Conclusion: Goldstone
Resources may go sky-high irrespective of what analysts say. Fundamental
figures tend to favor the dominant bias, whether the figures themselves are positive
or negative. Even a mean reversion effect caused by some fundamentals are
invariably transient in nature. What some economic news reporters deem too
insignificant to mention may have effect on the markets. Nowadays, decisions made
by central banks even have more impact on the markets than decisions made by politicians.
This piece is ended with the quote below:
“….Studying
prices intensively enabled me to develop a better feel for the market.” – Ralph Acampora
Azeez Mustapha
Market Analyst, Trading Signals Provider and Coach
Eye-opening trading lessons: Lessons from Expert Traders
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