$CAT has been in a “NoGo” since February.
During the correction, GoNoGo Oscillator has primarily stayed in negative territory finding resistance at the zero line. We have seen the GoNoGo Squeeze build to a Max and then be broken to the downside as momentum continued to surge in the direction of the “NoGo” trend. However, at the beginning of the month, the oscillator broke through the zero line into positive territory on heavy volume. This gave price the push it needed to break free from the “NoGo” and paint a couple of amber “Go Fish” bars. This has now been followed with a first aqua “Go” bar, as the weight of the evidence reveals that the trend has reversed. As the GoNoGo Trend indicator has moved from “NoGo” to “Go”, price broke above downward sloping resistance and so we will look for support at these levels going forward.
