After months of a “Go” trend $CAT sees the trend change.
Price rallied through the beginning of the year making a series of higher highs and higher lows culminating in a high of almost $790 in mid February. After this high, we saw a Go Countertrend Correction Icon (red arrow) indicating that price may struggle to go higher in the short term. Indeed, after that high, we saw price fall on a series of weaker aqua bars and GoNoGo Oscillator fall to test the zero line from above. After a few bars looking for support creating a GoNoGo Squeeze, we see that the oscillator fell into negative territory. With momentum out of step with the “Go” trend, this put more downward pressure on price. Now, after an amber “Go Fish” bar of uncertainty we see GoNoGo Trend paint a first purple “NoGo”. This comes as GoNoGo Oscillator re-tests the zero line from below and fails, falling back into negative territory. Now, with momentum aligned with the new “NoGo” trend, we will look to see if price falls further in the coming days.
