Weekend Charting 28th July - 30th July 2017, page-60

As most European Indices continue their downturn in weekly momentum from decreasingly bullish to increasingly bearish conditions - I thought I'd take a look at something a little more bullish in the form of Nickel Futures.

Nickel Futures recent upside breakout above TL resistance and the 50w sma is a positive for the volatile base metal. PA appears to want to consolidate at these levels with the recent up-turn in weekly momentum to increasingly bullish conditions. Confirmation of the new up-trend would be a breakout with conviction above the 23.6 Fib retracement and overhead resistance near 11000.

The MACD recently formed a bullish up-cross with an expanding positive histogram. This is a bullish signal when it occurs along with a breakout in PA and the Stochastic entering oversold conditions. The Stochastic has recently been forming bullish higher-low's within the bearish continuation region (0 - 20.0) and has since become oversold with an up-cross of the 20.0 line.



A good proxy for the Nickel price I've found is Western Areas Ltd (ASX:WSA). There are others, but Im looking at this one as it could be on the verge of a major BO with a potential upturn in weekly momentum to increasingly bullish conditions.

Western Areas Ltd (ASX:WSA) has had a good run over the past few weeks on the back of an increasing nickel price. Currently on the verge of an up-turn in weekly momentum from bearish decreasing to increasingly bullish conditions. Watch for a upside breakout above the 50w sma along with a change to oversold conditions on the Stochastic - or take an early punt based on the bullish nickel price. One to watch..

The MACD recently formed a bullish up-cross with an expanding positive histogram. This is a bullish signal - yet to be confirmed. The Stochastic has recently been forming bullish higher-low's within the bearish continuation region (0 - 20.0) since mid-year. On the verge of entering oversold conditions with an up-cross of the 20.0 line. Watchy, watchy, watchy..