IOC dropped on the open and then moved above resistance, similar to the averages, USO, commodities, etc. all moving above local resistance of the last week or so. The volume today on the daily is a little misleading as breakout volume...
A Good portion of that volume was stop volume and it looks like it is being shaken out to the upside as well on the move up.
Keeping it very simple-intraday charts-3 min leading negative after the shakeout to the downside and all of that volume.
5 min confirming the same, this is important as one of the important timeframes and as confirmation of the intraday divergence.
The 4 hour chart shows a wickedly nasty negative divergence above major resistance, usually we don't even deal with the daily unless it's a major move.
Here's the daily chowing the same thing, you can also see past negative divergences, this however looks to be the worst in years.
I double checked Don Worden's (the father of all money flow indicators) Money Stream just to see if there was anything approaching confirmation...
Nearly exact confirmation.
No comments:
Post a Comment