As we anticipated last night (see that post by clicking here), we saw further downside today. Despite the selling, we were not able to go down to the next significant level of support (1380 area). We, instead, held higher. Holding a higher support, along with pushing back up above yesterday's low and closing well, puts us in a position to try and rally tomorrow. I'll be … [Read more...]
The Weekly is the Key
Today we saw further downside consolidation, as we expected. I noted last night that more consolidation was likely and that if the market did start to sell off today, it could push down to the 1400 level, then the 1395 level. It went to a low 1392 in a small selling climax before it began to firm up in the 1395 area. Today brought out an increase in volume. You can see it … [Read more...]
Stock Market: More Consolidation?
In yesterday's post, I noted that although the market rallied strongly the day before, a pullback was likely. I said watch for a pullback into the 1405 - 1400 area. You can see that post by clicking here. We did indeed have a pullback to 1405. You can see the pullback on the daily chart. Also, the S&Ps dipped underneath yesterday's pullback low and then pushed back … [Read more...]
Another Rally Yesterday
I just came back from a conference in Boston on new advances in psychology. It's was very inspiring. I learned a lot of new things in the field that are applicable to our trading. I'll write on some of these in the near future. We had another day of rally yesterday in the S&P e-Mini futures (ES). We see very good price movement, reaching new highs on the year. Note, … [Read more...]
Yesterday Low the Key Level
As I detailed last night, yesterday's low was indeed the key level for today. The pullback this morning went underneath yesterday's low, then, as expected, rallied higher. A nice spring. If still long, consider taking at least a piece off as we enter into the noon hour. It is Friday after all. For heartier souls, 1395 area would be significant resistance. I don't know … [Read more...]