The weekly is a picture of caution for sure. The divergence is already confirmed two weeks back but prices continue to turn higher. In fact, prices may continue to go higher in the coming weeks but the inevitable will still happen -- prices will still retrace back to the value zone in time to come and that should be around $5.33 - $5.69.
I am still holding on to my long positions. On hindsight, it should be sold last Thursday or Friday but God knows, right? I will sell if I am given a chance to next week but looking at how things are working out, I will very likely ride out the pullback.
Chart wise, we are seeing a strong resistance around the $6.37 level. You can see that the level has been tested a few times already in the past. We are also seeing a Class B divergence on the histogram; MACD lines are on the verge of diverging as well.
In general, the preferred decision at this point is still to sell but I doubt I'll fetch a good price on Monday as S&P didn't do quite well on Friday night after GE and BAC earnings reporting. Lets see.