TNA

Break of the bullish support line, using the H/L method.....

This 1x3 P&F uses the 'high-low' method, which charts based on the daily high/low price (rather than the closing price). The (blue) bullish support line has been broken and we now have bearish resistance, as denoted by the red downward sloping line.

What we have at the top of the chart appears to be a 'high pole' ie a column of at least 7x's that immediately reverses, retraces 50% and continues lower. The first price target given by that column of 0's from the top is 57 (ie 1x13 boxes x 3), 39 less 96.

This 1x3 chart is plotted using the closing level only. So if at the end of the day in an up trend if the index moves a point higher you fill the box and vide versa if the index is trending down. You need a 3 point reveral (1x3) to move from one column to the next.

Here the first target given from the top is 64 which for now is active. But on this chart, using the closing method, we still have bullish support. In addition to the thick blue there are also minor bullish support lines supporting the broader trend.

Confused? My general preference is to use the closing method but the high/low method does recognise the intra-day movements and that break of the trend line is quite telling.

On balance these daily charts are suggesting TNA will trend lower but to re-inforce the picture given by the H/L chart, I would like to see the last column of 0's taken out by a lower column (ie the 80 level broken) on the 'closing' chart and also a move through the shorter term support lines would strengthen the bearish case.

This index is 3x geared so I guess the moves either way can be quite swift.