Thursday, July 9, 2009

IN THE HUDDLE

Daily Technical Analysis:

Resistance: We have immediate resistance at 884 (wednesday's high and thursday morning overnite high). We rallied up to 884 late in thursday's session and sold off.

Support: 875 is critical. The line in the sand has been drawn here. The "smart money" that has been long for the last few months will be defending this level because it is at this price that they initiated back in May. We have traded below this level on weak volume and the weak longs have been stopped out.

Today was an inside day and I am waiting patiently for the break out above 884 or 875 on above average volume. Tomorrow is a summer friday so I do not expect volume to be heavy. However, we still need to be focused and alert because winning trades will occur. Use the Russell/Nasdaq as leading indicators to see if the break is for real or not.

Next week I will have new technicals daily and weekly levels. Stay tuned next week for when I talk about the July 1st high and what that means for us the rest of the month.

***In the coming posts, I expect to use pictures/charts, etc. Feel free to send any suggestions to me directly at MO@tradingrm.com ****

blog comments powered by Disqus