Monday, December 1, 2008

Ok enough is enough

Previous Trade Day
Well light day according to expectations yet again. Small trade range, top out action around the 890-900 range as predicted (high of the day 896). Not much more to say =)

Well I am looking forward to an exciting STRONG day. As mentioned we will have our change of trend to the downside today - market has run out of time to make new highs and has moved higher in price on lower and lower volume.

We have two scenarios today, either a gap open on the downside with a continious trend to the downside with some slight recoverys - or a nice suckers rally where we are moving 20+ points to the upside off the open for a reversal at the 910-918 - heck if we go higher then this just keep on shorting.

How to trade this?
EDIT due to pre-market data

Well today is going to be our down day, we are not getting the suckers rally I was talking about and we are extremly close to the 865. Wait first to see if we have the proper support in this range and if we are selling below the 860 - if we do break go short from here but watch it with a bit of care - my expectations are back to 820 over the next few days but we have to be mindful.

I said on Friday any longs should close out if we are to get a break of the 890 - I hope everyone followed this advise, if you did not today may be your last change to get out though I expect quite a strong down day which will cost you quite a bit.

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