Just very recently, about a month ago, when Hong Kong Hang Seng Index broken its major resistance (traced back to Nov 2010 of 24874.96. There was a big huhhah because it "means" more upside for the fool according to Alexander Elder.
Two weeks later, it couldn't maintain the momentum and worst another big marubozu green (bearish in disguise) attempted with "convincing" break out into 25300 "assuring" the fool that the uptrend is intact oblivious to the fact that a big bear flag is waiting at the top.
But using a lagging indicator such as RSI with double divergence would be suffice to bet big in short position rather than long.
Cheers, shorties!!! :-)
Two weeks later, it couldn't maintain the momentum and worst another big marubozu green (bearish in disguise) attempted with "convincing" break out into 25300 "assuring" the fool that the uptrend is intact oblivious to the fact that a big bear flag is waiting at the top.
But using a lagging indicator such as RSI with double divergence would be suffice to bet big in short position rather than long.
Cheers, shorties!!! :-)