2nd day of the rotation breaks the 3-day lows (6744) and heads
into the weekly 50% level @ 6690. This is the first time is a
number of weeks that the 3-day cycle trend has broken. (first
sign of confirmed weakness)
Whenever there is a break of the 3-day lows, the expectation is
that the next day will swing upwards and move into a 2-day
counter-trend move.
Note: 2-day counter-trend move has a random length, it
can consolidate around these lows, or it can easily make it's
way back towards the recent 3-day highs...
The Weekly 50% level
is still verifiying support, and this pattern sends the market back
towards the 3-day highs on Thursday after 2-day 'stalling' pattern
Tomorrow is my ‘sell’ day.
That sell can be from a higher open tomorrow if US markets
move higher, or from a lower open. (18th October 2007_
This Week's Trading is the first time that the overall UP Trend is
open to Risk and October resistance has been confirmed.
Short-positions
will exit on the lower open on Monday, because if the gap and 3-week
low support zones, which often can support the market.....
