Commentary

3/3/21 Afternoon Signals xLH/o0>c0 Dueling Necklines

The 30 minute chart shows a multiple top and bottom formations. The little rally off the morning low managed to touch the neckline. Longs want this structure to hold. This is a natural buy point if today’s low holds, but that seems shaky.

We are getting more Middle and Lower Cycle FF5s signals. If the first green line at about 370 on the weekly chart breaks the formation has a chance of tipping over and a decline from there would target the second green line around 350. The more serious case is the bottom line around 330 and the 52 week moving average.

Even then there are outstanding issues on the structure coming off the October lows. Anyway, you probably should be looking for a buy point rather than a sell point.

I’d tend to give the o0 buying opportunity for CO a pass here. Might be willing to bet on x00 if things are weak tomorrow.

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