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Tuesday, September 16, 2014

African Minerals Crashes!

African Minerals shares (LSE:AMI) have crashed – dropping significantly for the most part of the year. The bearish bias is so strong that anyone that goes long in this market would be sliced up.

In the chart, the ADX period 14 is above the level 50, showing a very powerful trend. The DM+ is below the DM-, meaning that the sellers have upper hands as compared to the buyers. The MACD (default parameters) has its signal lines below the zero line. This is a Bearish Confirmation Pattern in the market and the upper hands of the sellers are significant indeed. As long as the signal lines are below the zero line, it would be irrational to take any bullish action.

The price is supposed to continue going further south, reaching the accumulation territories at 16.00 and 15.00 successively.

This forecast is ended by the quote below:

“Winning traders manage risk…  Managing risk not only protects your account balance, but it also helps you control your emotions.” – Joe Ross

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

Learn from the Generals of the Markets: Market Generals


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