Wednesday, July 14, 2010
7/14/2010 Neutral Day Wrap Up and Key Levels
Good Evening Traders,
As promised, I uploaded the 1200 tick chart. I marked the trades in white. today was a consolidation day or a neutral day. Whatever you want to call it, buyers and sellers were about even and volume was light. True to my prediction in the last post, the market made a rally into the close. It wasn't exactly parabolic but you can tell that the buyers wanted to close positive on the day (7th day in a row).
There were no divergence trades on the day. Around 2pm est there was a divergence on the stochastic but the sine wave was painting red and not blue, so no trade there.
As far as key levels, they are pretty much the same as yesterday. Just look at the 15 minute chart I posted earlier. I would be cautious on a break below 1084. There isn't much support until the 1076 area. The value areas on a volume profile chart are 1087, 1091-92, and 1074 below. I could post a volume profile but my charting has a copyright clause and I don't want to get involved with that!
As I am typing this (9:30 pm est) the market is trading around 1090 so we aren't getting many clues leading into tomorrow. Making a prediction for the open is a fool's game. I'll wake up tomorrow and do the same thing I do everyday, trade the price action. Good luck