Following yesterday's session, both our Sigma trend Index and the Breath Index weakened.
They are now close to the zero line. In order to validate a trend reversal, we need 2 consecutive closes below the zero line.
This is not the first time this year that the Sigma Trend Index declined below the zero line, but each time it bounced back after one day in negative territory. This move indicated we were in presence of a weakening uptrend but not in presence of a trend reversal.
Conclusion:
We need to be patient, and we must wait for a trend reversal signal from our indicator.
Have a nice day,
