ADX Technical Overview

ADX Technical Overview

Signs of weakness.

In the long term the market remained close to the 52- weeks high, with Bearish characteristics remaining in place. With the medium term trend losing strength following the recent top formation below 4650, a retest of previous lows at 4480 continues to be expected. In the short term, the market has broken through the lower boundaries of the range that was capping the market since early-May, and warning for extended loss. Given those trending characteristics short term positions are expected to remain on hold at current times and traders should patiently wait for fatigue in the decline near a strong support zone before acquiring any new positions.