Post-open review

Next higher target already met. Again.

2044.00 was likely to be met this morning because yesterday's rally held at 2022.00 resistance. Potential to the 2029.00 target became a likelihood for trending through it to its next higher target.

But 2044.00 was met already during the first half-hour. 

The setup seemed suspiciously similar to yesterday. Its target was met early, after trending up through the open -- an open that had gapped up after rallying overnight.

Similar setups that appear sequentially tend not to resolve similarly. Since yesterday's similar setup reversed down through the morning, this morning's setup should not.

So, if the 2044.00 target wasn't going to be the morning's high, then the next higher target at 2052.00 is in-play.

In fact, the open's rally barely skipped a beat while extending another 5 points higher to 2049.00. This is relevant resistance, and it might cause the rally to hesitate. A corrective dip isn't necessary, but it would have room to 2041.00 without damaging the uptrend.

Meanwhile, a fresh high above 2049.75 would start to signal the rally resuming to at least test its 2052.00 target.

Posted to Rod David's Futures Market … on Jan 08, 2015 — 10:01 AM
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