Price Momentum: Positive – beginning to weaken at 9200 area. Good place to take profit if long.
Support (Daily Chart) – 8950-9000 Support Zone – If price enters this area, look for reversal signs before entering long.
Resistance (Daily Chart) – 9200-9350 Resistance - Some selling here. Good place for a reversal back to support. Look for reversal signs intraday for quick profits.
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Nice move to the upside. Sentiment driven in my opinion. If long, I would take some profit as some signs of selling are beginning to show up. I would be more comfortable shorting but I would like to see price test highs and not break through. I would look to cover in the 8950-9000 support zone. I would then be looking for longs in that area, if price falls through, I would then look for 8800 to hold (200 day moving average). Remember if this market doesn’t make sense to you, that means you are applying logic to something that is irrational. My analysis is purely technical. I let price tell me what to do, rather than letting news and other conflicting information contaminate my decision making process – Steve.
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