| Updated 11/11 for Wednesday's market. |  | ||||||||||||||||
Down DayDow trades slowly lower - down 19 points.From prior commentary, "...The fact that the Dow has broken support at 9,770 indicates further weakness for tomorrow's trading, especially if the index breaks and holds below 9,700..." The Dow traded sideways-to-down throughout the session today, making a slow decline to the Close, as seen in the 15 Minute Chart. The index continues to hold above the 9,700 level and lost just 19 points for the day. Looking at the 15 Minute Chart shows that the Dow has formed a tight consolidation at the lows of today's slow retreat. Typically, consolidations at lows imply further weakness. Therefore, we will watch 9,720 for a downside break to indicate a further decline. Such a move will likely push the index lower toward the major lower trend line at around the 9,650 level, as seen in the Daily Chart. Look for further weakness to brew below the 9,800 level in the near term. An upside push through 9,800 will lead to strength. Short Term Dow Short term, the Dow has formed a clear short term trend line across the highs of the current two-day downmove, seen in the 5 Minute Chart. Watch for further weakness below this level tomorrow morning. An upside break through the line at 9,740 will likely make for an upside push at the Open. Medium Term Dow In the medium term, we are still Short the Dow from 9,770 and will move stops down to 9,760 for tomorrow's market. We will stay Short below 9,700 and will look to enter Longs above 9,790, with 20 point stops. NASDAQ & S&P The NASDAQ and S&P each traded lower today, followed by the formation of tight ranges at the lows. Watch for breaks from the consolidations for direction tomorrow. * Summary The Dow slowly sold off today, losing just 19 points by the session's Close. The index continues to make its way toward the major lower trend line from the Daily Chart. Watch for further weakness toward this target unless an upside break through 9,800 is seen. Thanks for listening, and Good luck in your trading.. Ed Downs with assistance from.. ** Note: We are now posting Index entries and exits in Real Time, through our new Intraday Index Alerts service. To learn more about the service, visit SignalWatch.com and select Intraday Alerts from the main navigation bar. - SW Team _________________________ |
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MfG, ZiZo | Update: www.scalpgroup.de
