The daily chart is closed with what one would call a hammer! What’s more important is that it jabbed the lower line of the triangle and now is sitting on the edge. I guess the bear just got bigger or is it just a false break to the down side? The 20 period MA is at approx 2810 level and upper trend line resistance is at our much tested and held 2860/70! Supports? There are none only illusions of supports (anyway they don’t even hold like the resistances are doing). At the risk of being repetitive I am once again quoting a saying that there are no resistances in a bull market and no supports in a bear market.
Coming to the hourly chart, we can see that the triangle (drawn in dashed red and blue lines) is wasted. The price is right at the apex, with both the 20 and 50 periods MA’s nesting at 2700/2710. This might prove a resistance for tomorrow.
All in all a bit confused state of things, if you are good at intraday scalping you are in the game, but if you are the positional types, its better to wait for clear signals to emerge. The broader levels discussed earlier on the weekend post still hold ground. How about practicin patience? Three important P’s to trading are PATIENCE, PATIENCE and a whole lotta PATIENCE!!!
"You cannot escape the responsibility of tomorrow by evading it today."
Abraham Lincoln
4 comments:
Hi..Manoj,
That is as simple an analysis in a confused market. Yeah...Sit it out till a clarity comes in..
Three "P"s...well, I would say...Preparation, Perseverence and ofcourse PATIENCE..
How you are doing and the family..?
Keep posting your wonderful analysis..It is a great reference and readymade stuff..People need not sweat it out like we did in 90s...
Best regards
hi author of tryin2trade,
Just stop by and say you have a great blog for trading, would you mind to exchange link with me
http://traderwork.com/
feel free to visit and comment!
thanks a lot!
Illango Hi
Once again I am very happy to see you here. Yeah man just tryin2keep things simple myself.Actually I really look forward for guidance from you and SS. In fact friends like Lee also bring in a new thought process.Tryin2assimilate all good things from you guys and enriching myself!
Once again thanks for all your inputs and comments.
Regards
Paul Hi,
Welcome and thanks for appreciating the blog. Its nothing but notes about my incoherent ramblings about the markets. You can say I am just tryin2b a trader and more importantly learning the TRADE!
Yes you are welcome to exchange links but I must warn you I am not a pro like you!
Regards,
Manoj
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