Like I said yesterday the first challenge is to close above 50 DMA. That’s what we attempted today (see the daily chart). Nothing much to write about today’s intra day action. A flat opening, a new high, and a failure to capitalize on that. We ended with a Doji. Well traditionally Doji’s are known for indecision and tiredness (both bulls and bears are not able to make up their mind). But what makes this Doji important; it is formed right at the resistance. Doji is nothing but a battle between the demand and the supply. Doji in itself doesn’t signify much but when combined with other candle sticks, can form an important pattern. Will this Doji turn into Doji Evening Star? This can be only be answered tomorrow. As of now I won’t be changing my bias (the status quo remains) and would like the Price to dictate the direction. I leave you with this quote;
"The only true wisdom is in knowing you know nothing."
Socrates
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