Down fall started exactly one month prior on 22nd FEB. Almost lost 90 points on card. After disburse consolidation & tight range (blue circle) indices took further down fall, influenced by global & JAPAN disaster.
After recent low of 1250 the bounce had visible. the question is, whether it is a resilience short cover ?
#1 - 21 days ADX on daily chart still weak & running in over sold zone. however, last two days up side closing had inspired ADX to upside head. if 21 days ADX, come above 20 level, then we can conform some more up side targets beyond 1320, that’s seems impenetrable for now.
#2 - on daily chart we haven’t distinguished any strong resistance, this could be benediction for up side run. an emaciated down Trend-line can be consider as resistance for a while & that sat at around 1315 level.
#3 - Strong support stands at 1225 level which is too much beneath & looking almost difficult to visit this level, unless no major sell off triggered.
#4 - Volume is still a weak indicator on chart.
My conclusion - chart indication are mixed for either side dynamism , but, the wide support 1225 & resistance 1345 are standing. for short term basis, it is expedient to consider support at 1250 & resistance at 1310 on closing basis. S&P can spend more time within this range before any BO/BD. after opening short view on 04th march , we are again on long side view on 17th march with conceivable target of 1310 & SL is 1245. this long view will be kept open unless we don’t detect next counter signal toward short side and that can be possible on any coming trading day .
trade with cautious as middle east is still capricious & ambiguous along with JAPAN disaster. because this time S&P & DOW can be abrupt global traders and analysis with their move.
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