reached balance level with upbias

Hi friends,

On charting ADY, I find it has reached a level of balance with an immediate upbias. Why do I say so?

From the chart below, you can observe the following:



1. From the top of the price at A, we can see that there is temporary support at the price level of B where prices fell down to that level and held on for some time, thus forming a range of prices between A to B. If we extend this same range between A to B downwards ( ie double the range ), we find the price to fall exactly to the price level of C. In other words, the lower balance point is level C as the range between AB and BC is equal or the same. The line B therefore divides the total price range of A to C equally, with C being the balance level.

Price has fallen to the balance level of C on Friday and then started to display an upbias by rebounding off that balance level yesterday. In other words, it has reached a balance level and has started to show some upbias.

2. By taking another look at the Slopes indicator, it is seen that both the long term ( red line) and the short term (green line) slopes of ADY are in sequence and have just moved upwards into the bullish region- displaying the upbias.

3. Looking at the momentum indicator as shown in the chart, it is seen that the indicator is just about to display the trigger signal- with the hook up, indicating the immediate upbias.

4. There is an overhead gap as marked on the chart that is seeking to be filled when prices rebound, and that is the expected first target.

May the best prices be yours

dascore