One of the main signals of previous trading sessions was the intersection of the Tenkan and Kijun lines. This area is marked with a pink square on the graph. The rise of the Tenkan line above the Kijun line is a positive signal, which may indicate a possible change in the trend to an upward one.
The second most important signal is a change in the direction of movement of the cloud Kumo. This signal is marked on the chart with a vertical purple line. The orange color of the cloud indicates a change in the priority direction of movement to upward.
The current situation
Let’s look at the main components of the indicator and their current values:
The price is above the Tenkan and the Kijun lines. It indicates positive market sentiment.
The Kumo cloud is colored orange, indicating the market tendency to a continuing upward movement.
The price is inside the Kumo cloud, which indicates a market uncertainty phase. The SenkouA and SenkouB lines act as support and resistance.
The Chikou line is now below the current price.
Trading recommendations:
Dynamic support levels are located on the Tenkan line, around the 6990.94, the Kijun line, around the 6980.20, and the SenkouB line, around the 6953.15.
The dynamic resistance level is on the SenkouA line, around the 6995.50 mark.
The indicator signals predominantly support the upward vector of movement, so the upward bounce from the defined support levels signals are prioritized intraday.
