Wednesday, October 22, 2008

Decision day ...

I am still off by a point of two but overall numbers are starting to make sense again. Hit the first high right at the 985. Unfortunately we broke the 970 fairly hard and as mentioned it brought us to the next level at the 952 (first low was off by 2 points). I mentioned I wanted to see at least one test of the 985 and we were able to test it one more time in the afternoon - However we had a fairly large sell off that brought us right back to the 952 which marked the low for the day. This unfortunately was not a good sign and indicates that we will find ourselves on the lower end again.

Unfortunately we are already down premarket so the 940 will be broken on the morning. If we are to continue on the upside we need to try to stay above this number and at least attempt to get back to the 952 range througout the day.

Time and Price

970 - if we can get to this number today we will continue on the upside, though I do not expect to even get a test here
952 - we need at least 2 tests of this number today, if we cannot break this on the upside the market will continue lower
919-921 - expect quite a bit of support here

A break and close below the 940 will send is back into the 800 range and possibly retest the lows.

No comments:

Post a Comment