US markets sold down on Thursday, and by looking at the price action on the SPI on Thursday, that inside UP bar doesn't look like it's going up today.In fact if it opens below the 3-day lows @ 5511 yesterday's expectation of a down-move could be happening today....
Scenarios:- Depends on where the market opens today:-
The daily 50% levels have been gravitational zones and the market has been rotating around them and pushing downward.
Looking at the market I'm leaning to the downside:- A good trading set-up would be a failure around the gap @ 5520 (22 points up and reversal) down.....
Therefore levels of interest are 5520
Above 5520 and it's pushing back into the 50% levels (circled)
A failure of 5520 and moving down expectation price is hitting 5476, and below 5476 it's moving down into yesterday's downside target @ 5410.....(Lower Weekly close)
Manage Risk with Above levels:- if trading below 5476 not looking for any longs trades today.....
Note: after early moves in the market there has been consolidation around timeframe levels that often provide a secondary trade looking for the r44 completion. I'll keep an eye on consolidating patterns....
Once again above 5520 and the entire set-up has failed
The Last 3 out of 4 Friday's have either moved higher or provided a late R44 Reversal pattern off its lows. Today being Friday the statisitics have favoured higher closes so we need to keep this in mind today.
However by looking at the price action I don't favour this happening today...we should know by the first hour of trading today's direction....
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