Family Dollar Stores (FDO) : Challenging Ichimoku Kumo Resistance

Family Dollar Stores has a little gap up yesterday and may be poised to break out of the kumo resistance on the Ichimoku Daily Chart.

Support is at 28.71 with Resistance at 29.7

The chart formation also seems to suggest a cup-and-handle forming.

Looking at the flat leading kumo, it is sugesting that price movement may be fairly range bound between $29 and $30 in the short term.

This is further supported by the Weekly Chart which shows that the price is trading inside the kumo now with a resistance at around $30.

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PowerShares DB Agriculture (DBA)

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The PowerShares DB Agriculture (DBA) has a gap up the day US announced that they are buying back US bonds over the next 6 months.

Price level held steady at the gap level and is out of the kumo resistant at around $25.

The volume is above average, however, the price has not move rapidly up. 

This is probably a sign a knee jerk reaction to the weak US dollar rather than increasing demand.

Howver, in the long run, US dollar seems poised to go downwards further with the Fed printing more money.