If the market is going to continue higher it needs to continue upwards from 4526 and move towards 4550 and then towards Weekly 50% level.
If the SPI fails to move beyond 4526 and drops back below 4507, then the SPI could reacting to the price action in US markets, and the market can be attracted downstowards the brown filter"
Premium Report
SPI Futures
The critical level today was the breakout of the 3-day cycle @ 4517 because of a number of text book patterns….
Double monthly low pattern in February @ 4441
Quarter 50% level support @ 4463
breakout of the 3-day cycle @ 4517
and cross-over of the 5-day 50% level and blue channels @ 4507…
And price should continue to move upwards (42 points) and then towards the Weekly 50% levels @ 4588-4612
"Everything is pointing to a bullish set-up and reversal of the trend. Right?
I would normally say YES, but we don't have the same pattern in US markets.
What we have in the US markets are, 2-day reversal patterns into resistance levels with the expectation that price is going to complete the move down into their own support levels."
Below 4507 and our market can be looking rotation towards the lower brown filter levels"
And that’s probably why there wasn’t more upside in today’s market, as pointed out in the morning report.
Once price failed @ 4517 and dropped back below 4507 the market was rotating back down towards the filters and back within the daily range.
- Daily Trading Set-ups & Analysis
Posts
