"Monday is currently pushing down towards the 3-day lows and Weekly 50% level. I would like 1 more down day on Tuesday and hopefully it has a bit more length than today.
For the market to unwind and move much lower, then there has to be a lower close below the short-term support zones. (Weekly 50% level)
However:- I would look for 1 UP day after any break of support (Wednesday), and then for the continuation of the Weekly down trend the following day:- Sell next day higher open on Thursday (Previous US report 3rd December part 2)
US markets:- major resistance December 50% level, with the expectation of a 2-day stall and reversal back down into Support. (3-day lows and Weekly 50% level)
A ‘weaker’ trading pattern would see a break and move below support, closing the trading day below. Until this happens then there can’t be any following through on the downside.
If you have been watching the SPI today, it has been very choppy trading above higher timeframe support but part of the ‘stalling’ 2-day reversal.
And the same can be said in US markets:- no downside break and markets will remain range bound between two important levels. (monthly resistance and Weekly Support)
Intra-day:-
Support is the blue channel lows in both markets:- below and expectation that this will be another down day with a random length.
Price remains above (support) and another choppy day, but I wouldn't discount price heading back towards the 3-day highs if price bounces of support either, due to December contract expiry coming into play soon.
Once again:- I have a technical view on the markets but I don’t have a high probability trading set-up for Tuesday.
The same with the SPI today, I have a technical view:- higher timeframe support and a ‘stalling’ day. However I didn’t have a high probability trading set-up other than using spiral points as Risk levels.
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