Just to give you guys an example of what I'm talking about,...

Just to give you guys an example of what I'm talking about, today the market failed to confirm yesterday's dark cloud cover:



It doesn't necessarily mean that the price will continue to move upward tomorrow, but it does give some indication that the market has 'paused' and usually after a surge like we've just had there are traders taking profit and selling out. Today's candlestick is similar to as follows except we have a bullish harami at the end of an uptrend. This is a relatively common scenario when a stock maintains relatively strong buying interest after profit takers sell out.



Arguably this more or less confirms that the psychology yesterday was 'profit taking' and not some kind of broader reversal. My own bias tells me that people who are not traders are continuing to buy at these levels and that traders need to be careful of getting burnt.

The market may enter a period of indecision or it may surge again upward sooner rather than later, it just depends on who's dominating the buying & selling.

I think overall we can be confident that the market for the most part believes in a more medium-long term price rise.