Stochastic on my settings (which I been tweeking for 15 years to get me optimal clarity) shows that it's been rising (bullish), and now nearly hitting its peak (77) while price has been declining.
This is a major weakness because you want to see PPS rise with the stoch. Bad is if the PPS is flat, while stoch. rises, rarely do you see a rising stoch while PPS declines. That means ugly days are coming.
Opposite is same...great is if stochastic is falling while PPS stays flat or sometimes (though rare) you see PPS rise while stoch falls. So when stoch is ready to cross back into bullish territory PPS should push for new highs.
For Sigma the stoch. is climbing, PPS is falling...what will happen when stoch. reverses into bearish? Odds are PPS goes lower. PPS is weak when it should be bullish...when bearish stoch. comes back, can Sigma hold?
Healthy situation is that PPS rises with stoch., but only falls a little while stoch. reverses and goes bearish...rinse and repeat.
No indicator is bulletproof, that's why I use my 3, macd, stoch, and RSI as my main in 15 different time frames...from as little as 1 minute to as high as 5 years.
If I'm day trading 1-15 min time frames are critical especially if you're flying in and out of options. Then it's the 30,60,90 min and daily 10 day 30 day 60 day ...180 day 1yr 3yr and 5yr frames.
Frames should be looked at depending on your trading time frame/strategy.
On top of that don't take factory settings on these indicators esp stoch. Play with them, adjust them. Just like you wouldn't buy a new LED tv and skip the calibration. My calibration comes from 15 years of day trading, learning from mistakes and re-adjusting.
Then again...this is an OTC stock, techs don't do justice like the they do on high volume, very active securities....
So I kinda take back what I said...it's a death sentence on a normal security...in OTC land, anything can happen, and I tend to forget that since I spend 98% of my day with the big exchanges not the OTC.
