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FCPO 3rd Month Contract - End of Downtrend?

FCPO 3rd month contract has been in a downtrend since early Feb 2017 making lower highs and lower lows and containing its price action below its 20-day sma until May 2017 when it started to go above its 20-day sma. It stayed above its 20-day sma until the last week of May 2017 where it traded below its 20-day sma line again.
Recent price action showed FCPO briefly broke below its Apr 2017 low but quickly closed above it the next day followed by a long bullish candle to create a false break. At the same time price formed a bullish divergence against MACD where price made a lower low but MACD traced a higher low. This is a technical clue that FCPO downtrend could be ending and its price could be heading higher.
FCPO 3rd Month Contract Daily Chart

Trading and investment involves risk, including possible loss of principal and other losses. I shall not be responsible for any losses or loss profit resulting from trading or investment decision based on my posting and any information presented in this blog.


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