We have been monitoring the negative divergence of RSI and MACD on our Weekly Charts. And this tool suggests that an upcoming correction or change of trend is ahead of time. This negative divergence took almost 2 years to develop an outcome, and so it happened this May 2015.
I have been frustrated that change of trend or even a correction was not seen since the negative divergence has happened, it made me lessen my risk, making me not so profitable for the past 2 years.
I am still in the learning stage, and seeing this -12% correction relieves me that technical indicators are true, may take time, but still has good chance of outcome.
Now that US already corrected, and highest chance of probability that:
a. Major A bottomed on 1867 and we are in the current Major B bottom before a Major C decline to finish Primary IV. Target of 1820-1870 (70%)
b. We are in the final stage of Major C decline where Major A = 2.618 Major C. ( I think its to early to call this, too much of a flash crash and V shape recovery) (30%)
Cheers!
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