SPM 1318 is a support which was tested solidly, I would like this support and 2512-4 support on Comp to hold today, SOX has the potential to move upto 440 area where it may sell back to 405.. I will replace my TXN MOT EMC and other heavily in the money calls with out of the monies. I think if 1318 holds well until Monday the path of least resistance is upwards and not downwards, the pits shorted at 1327 yesterday and they would like to do it again, the Monday high of 1337 is where they would get out, so if 1332 is out and we see 1338 the rally can take us to the old resistance of 1355.
The second close above 2512 and NDX 2121 will be very important, a major break will only be confirmed if these levels are held, so far in last few sessions we have not been able to have a secnd close above my levels, even SPM 1330, we closed on 1329.7 and than went up for a day to close down, experience tells me that two day close on major turnaround is a must.
A break of these supports 1318 and 2475 will lead us to 1292 on SPm and 2360 on Comp. naturally such a break can be expected if numbers come out wildly out line and instead of one tightening we may see a coherent pattern across the board in price rises.Market needs to be traded within some supports and resistances anyone who has not learnt this will have to learn this discipline, I have over period of time and working hard to make it popular. |
