Wednesday, February 2, 2011

signals of collapse and suck-up!

when does a range-bound price finally collapse?
when does a range-bound price finally shoot up?

is there any signal?

fortunately, there is one!

when price is rising slowly
but rsi rises considerably
almost from below-20 to 70plus
many times
it is about to be sucked up sharp!

when price is sliding slowly
but rsi slides quite a bit
almost from 80-plus down into 30s
many times
it is about to collapse!

Photobucket

Photobucket

remember the only condition : the price must have been range-bound before this condition.

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