ADX Technical Overview

ADX Technical Overview

Probable daily reversal.

In the long term the market eased off the 52-weeks high, with Bearish characteristics remaining in place. The formation of a lower top on the daily timeframe outlined at 4640 that is currently acting as medium term resistance, has placed the medium term Bullish structure under threat. With previous daily bottom at 4480, any break below that level will signal a daily reversal and initiate a daily decline targeting at least the 4400 level. Therefore, with a probable daily Bearish reversal on the making, both medium and short term positions are expected to remain on hold at current times. However, failure to convincingly break below the 4480 could allow for sideways patterns within the range of 4480 and 4640.