Wednesday, February 25, 2009

Analysis for Thursday

Wednesday was a wild day as the market sold off in the morning and then reversed to almost close positive on the day if it weren't for the last half hour. Either way, I'm still a little bullish here as we held the 750 retest today and seem to be forming a nice inverted head and shoulders on the 15min chart. Neckline over 780 so if we could get over that mark then we could rally fast into the 800 level imo.

As or Thursday, I'm looking at the pivot point of 764.75 to hold support and lift us higher. If it does not and we hover below it, then I'm selling into any bounces or flags that form because the shorts will have momentum below that area. Like I said, I think we can get up to the 800 mark to test but if we do get over it then we could run all the way to 823 where we have a gap to fill from last week. Not saying it happens this week but it could be something to watch. Trade safe.

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