Quarterly Outlook
Equity outlook: The high cost of global fragmentation for US portfolios
Charu Chanana
Chief Investment Strategist
Technical Analyst, Saxo Bank
Longer-term picture Vestas correction seems to be over. RSI is still showing positive sentiment staying above 40 threshold. There is no divergence and if Vestas can stay above 131.30 the longer term-picture is quite bullish with likely new highs in 2023
RSI divergence explained: When the price of an instrument is making a new high/low but RSI values are not making new high/low at the same time. That is a sign of imbalance in the market and an weakening of the uptrend/downtrend. Divergence or imbalance in the market can go on for quite some time but not forever. It is an indication of an exhaustion of the trend
Author is holding a long position in this company