Key DOW Levels for 6/2

However, the index was not able to rise above the 8,865 resistance level, which continues to pose as a solid barrier to further upside movement. The index has now formed a tight consolidation beneath resistance that spans from 8,820 to 8,865.

The fact that the consolidation has formed at the highs indicates that further strength is likely, however, the 8,865 has held quite well, which could force a downside break instead. A break from the pattern in either direction should be traded. A break through the lower boundary of the pattern at 8,820 will likely push the index lower within the boundaries of the expanding triangle, which is historically a bearish pattern.

In a more longer term view, you'll notice that the Weekly Chart shows that the Dow is approaching the significant 9,945 resistance level. The Dow will likely trend higher to this level before another major trend is established.

Short Term Dow

Short term, we will watch the tight consolidation that has formed at the highs of the 5 Minute Chart from 8,820 to 8,865. Watch this range for a break to indicate strength at the Open.

Medium Term Dow

In the medium term, we covered our Short position this morning at 8,770, giving us a breakeven trade. We later entered the market Long at 8,786, and are still in the position. We will move our stops up to 8,820 for Monday's market. Stay Long above 8,865, and look to enter Short at 8,820, with 10 point stops.

hatte es zu spaet bemerkt. viele gruesse

 

 

 

MfG, ZiZo

     

 

Market Direction with Ed Downs	Key DOW Levels for 6/3 UP Above 8,930 DN Below 8,850 Dow 15 Minute Chart Dow 60 Minute Chart
9000 Dow rallies to 9,000, but cannot advance above. Watch for further weakness below this level. From prior commentary, "...The index has now formed a tight consolidation beneath resistance that spans from 8,820 to 8,865. The fact that the consolidation has formed at the highs indicates that further strength is likely..." The Dow got the break through 8,865 today and continued steadily higher throughout the morning. However, the index ran smack into the technical resistance level at 9,000 which rejected a further advance. The result was a steady fall to the Close, as the index nearly completed a round-trip day. Click Here for full Article

 

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Market Directionwith Ed Downs Key DOW Levels for 6/4UPAbove 8,940DNBelow 8,860Dow 15 Minute ChartDow 60 Minute ChartSloping ChannelDow consolidates at lower channel boundary. Watch boundaries for break.From prior commentary, "...If the index can break through 9,000 soon, further upside is likely, since this is such an important level. A downside move through 8,850, however, will signal a continuation of today's reversal to the downside, and this is what we would expect after the run-up and hitting weekly resistance...." The Dow traded sideways today to form a tight consolidation below the important 9,000 resistance level. This consolidation has also formed just above the lower boundary of the upward sloping channel seen clearly in the 60 Minute Chart. The index had little movement today as it ended up a mere 25 points. www.signalwatch.comNYSE Chart of the Daywith Jeff DrakeWe've expanded the chart on MO to show that even though we have ridden the initial reversal, there is still plenty of realistic upside potential. Todays move begins to penetrate resistance, but we want to see more confirmation of continued upward movement before tightening our stop. It would be a shame to get stopped out early to protect a few percentage points, but for those that have been in this trade with us form the beginning, taking profit on half of your shares is a common and safe strategy. Philip Morris Cos IncNASDAQ Chart of the Daywith Jeff DrakeBELM displays one of our favorite confirmation patterns, which is a consolidation after bouncing off of support. Now that we have the breakout from the consolidation, we can set our stop near the top of the consolidation pattern to limit risk, and our target is the resistance around 7.5. Bell Microproducts IncLesson of the Daywith Jeff DrakeTrendline BreaksWhen is a Trend Truly Broken?The importance of trendlines cannot be overstated when it comes to technical analysis. We are told to trade with the primary trend, exit when the trend reverses, enter on trend reversals, and so on. Trends are easy enough to identify, but when is a trend actually broken? Click Here for full ArticleCigna CorpIndustry Commentarywith Steve BelknapGroups pause with market The groups were fairly quiet in Tuesday's trading. The list of long candidates thinned out a bit and only one group was added to the reversing short candidates. The Insurance Property Casualty group dropped sharply and in unison. The market action has been very dynamic for over a month, so I suppose we were overdue for a couple days in the doldrums. These periods rarely last long, and patience usually pays off. Steve Belknapsbelknap@nirvsys.comMfG, ZiZo      

 

sieht das nur bei mir so verschoben aus? na dann leg ich mich wieder hin...

 

MfG, ZiZo