Before we secure strong BUY Signal with strong momentum, 8.5...

Before we secure strong BUY Signal with strong momentum, 8.5 needs breaking! Currently Conversion line (current value 8.5) is already greater than Base line with current value of 7.7, and SP itself has been between Base and Conversion with a tendency to getting closer to Base! So Conversion line is actually the resistance we need to test and we need to break 8.5 first. Meanwhile base line is playing a role of support.

We may reach Conversion line this week, but a pullback to base or high 7 could still occur. Preferred scenario is higher highs and higher lows. In this case once SP is stablised and stay above base line, we could see a strong momentum phenomenon: SP > Conversion > Base > Cloud with Cloud prices as support. Once this setting is ready, any pullback can only be down to Cloud and then up rally will be resumed.....