Click on chart for comments and observations of the ES (eMini S&P) market. The long and short of this is how the market reacted to the low of 738.50, that was set on November 21st, 2008. It gapped open lower on Friday's trading.
You can see how the trendlines helped signal the overall direction of the market both to the long side, and the short side of the trading week. If you look at the YM (eMini Dow) chart, then you can see how the market struggled at 7399 level. This was the prior low of the YM back on November 21st, 2008.
YM has made a new low earlier, but it took till Friday for the S&P to show a new low that broke the 21st of November low.
Where do we go from here? Honestly, I don't know. Perhaps, we get a bounce up, or a relief rally next week, or we go down below 7000 on the DOW next week.
In closing, this is why it is so important to remember this saying, "Trade WHAT you SEE, not WHAT you THINK!"
Good Trades,
David AKA Tiger
No comments:
Post a Comment