Whipsaws make the market dangerous at the edges. Trade war chatter, Brexit fatigue into the next vote, and a plethora of other issues could give way to wild swings in the market. Be cautious and allow charts to hold steady before engaging. Below 2869, sellers are still in charge. Support bounces are important to hold near 2840.5. The edges of weekly importance near 2807 and 2791.5 keep me on alert for the next weekly test zone of resistanceRECAP -Seller stronger below 2872.75. Buyers want to hold support of 2836.5 as the weekly candle closes become important again. Breaches of either of those levels is likely to tip the balance of strength in the direction of the break.
Divergent action still sits below the movement of price on both sides of the trades – long and short – but traders are still looking at deep support edges to bounces.
****OUR METASTOCK MAP IS NOW SECURELY ENGAGED SHORT IN THE SWING MOTION BUT THE FORMS SUGGEST TAKING PROFIT AS IT TESTS LOWER AND ADDING BACK AT KEY AREAS OF RESISTANCE.
DEEP DIPS AND WIDE SPIKES IN PRICES ARE ALWAYS A STRONGER PROBABILITY WHEN THE SWING SIGNAL IS AT A CROSS CURRENT TO THE TREND. O
SWING SHORTS OPEN AT 2936.5, ADDITIONS ARE AT 2921, 2917 , 2882 – RISK WIDENS HERE IN THIS PROVING GROUND
STOPS ARE VARIABLE BUT BUYERS ARE STRONGER ABOVE 2887 NOW.
PRICE CONGESTIONS NEAR 2856, 2840, 2820 AND 2807 REMAIN SWING TARGETS
Divergence and defense of recent lows tell us buyers are still in the fight as sellers engage actively Here’s a link to the METASTOCK software
IF YOU DON’T JOURNAL YOUR PROGRESS, YOU SHOULD – How about finally starting that trading journal?
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