Index Weekly Report:- DOW, ES-minis, SPI

Dilernia Weekly Report 17th November 2007

"For many these October levels might seem support, especially if there is a 2-3 day counter-trend move in the markets next week, but probability patterns often suggest that the price normally follows the model, so the expectation is that November lows are the target before any major rally or support is verified…

I do expect a 2-3 day rally upwards next week, but firstly I would like to see a test of the November and Weekly lows next week before a major counter-trend move upwards towards the weekly 50% levels.

The trend will probably continue down on Monday or hopefully it will so that these lows verifies support, before there is a 2-3 up move back towards the recent break.

Therefore the Weekly 50% levels next week are resistance zones for a continuation move down after any 2-3 day counter-trend UP move. (previous Weekly Report (11th November)"


Index Weekly Report continues...