With the RSI of a little over 70 entering the overbought zone and rejecting resistance from November at ~223, it will be interesting to see how CAT plays out. The rejection also forms a double top pattern which is a bearish sign.
A short position is valid considering the points above. Due to current market rotation, the industrial sector is hot and I believe this is the main factor behind the current price levels.
A retest of 210 area is ideal before continuation.
A short position is valid considering the points above. Due to current market rotation, the industrial sector is hot and I believe this is the main factor behind the current price levels.
A retest of 210 area is ideal before continuation.