Kibo Mining shares (LSE:KIBO) are very weak, and
they would continue to be weak. Unless one goes short, anyone who holds the
shares, thinking things would soon go bullish, would end up being kicked in the
butt. Most tend to think that all that matters is the correct picking of
stocks, but you can be correct in your forecast and still sustain negativity.
Kibo Mining is a good example of this.
The market is very volatile, with the sellers gaining
the upper hands. 4 EMAs are used here –
and they are EMAs 10, 20, 50 and 200. The color that stands for each EMA is
shown in the top left part of the chart. It can be seen that the EMAs are all
sloping downwards, testifying to the power of the bears. The EMA 200 is a great
barrier to any bulls’ machinations along the way, for the price would be
bearish as long as it is below the EMA 200.
Rallies have invariably been opportunities to
sell-short when the price is a kind of high. For new sellers, constant selling
opportunities are already existent in this market. Where we plan to plant a
cacao tree, a cacao tree has grown there naturally.
While enjoying their gains, the sellers are always suspicious
of what the buyers may do. The quail is so suspicious that it appears as though
it had eyes all over its body. Irrespective of this, the price may drop
further, whether reluctantly or willingly, towards the accumulation territories
at 1.87 and 1.85 successively.
This forecast is ended by the quote below:
“My old dad used to say, “All you need to know is whether
the market is going up or down, the rest is just detail.” The best advice is
always simple and the more it annoys the more likely it is to be useful.” – Clem Chambers
Azeez Mustapha
Market Analyst, Trading Signals Provider and Coach
Learn from the Generals of the Markets: Market Generals
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