Thursday, April 14, 2011

B or W2 to 1320

The market gapped down in a W3 of a W5 as I speculated yesterday and it paid off to wait. I entered long positions at 1303, sold at 1312 and bought back at 1308 and now holding overnight. I am expecting this wave to test the 1320 area. However, there is a chance 1317 is as far as it will go so I have to see how the market opens tomorrow. The 1322 level will be resistance and will coincide with the TA, so that will be the ideal level to sell all longs and then wait for the next leg down or even load up on some shorts. What remains to be seen is how low the market intends to go, this correction could end this week or could be the beginning of something bigger.

No comments:

Post a Comment