Sugar: 30.01.2017
Timeframe: daily chart
Middle-term downtrend with short-term uptrend correction. Diamond figure - break up through the upper or lower diagonal will give us respectively signal for a long or short position.
For the moment price is under diagonal resistance and has made a few fakies.
Also it stays under 23.6 of Fibonacci.
Technical indicators:
SMA50/200 - mixed signals. Death cross (50 moves below 200) - negative signal. Price above 50 and above 200 - positive signal.
CCI 50 - price crossing down below 0 - negative signal.
RSI 40 - doesn't give a clear signal
Generally it is more likely to enter in short position but we have to wait form break through the diamond formation and confirming signal.
Entry level for a short - around 20.10
SL: 21.75
Alternative scenario: if price break through the upper diagonal of the diamond and close there, then we can enter in long position around level 20.90 with stop around 19.75.
Jr_Trader_Ivan_Ivanov
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