The market’s strong bounce off the bottom has made new momentum highs on the 2-period ROC. The SPs are expected to hold their gains after such strong upside momentum. Watch for a retracement to the 15 minute EMA where there will be a grail buy, and then perhaps the 30 minute EMA over the next 1-2 days. Any early morning rally will be a short for a retrace back down to the 15minute EMA.
Both the tens and the bonds traded back to the daily EMA off the morning economic numbers but finished well above their opening price. They can fill out a trading range on the daily charts after a large standard deviation move to the upside.
EC has had two strong back to back days. It is at the upper end of a downtrending channel on the daily charts. The weekly charts suggest that it can push up higher. Watch for a retracement to the 60/120 mintue EMA as some consodliation is due first.
Gold and silver are still coiling in a trading range but there is a strong pattern of higher lows on the intraday charts. Cows still have a 240 minute power buy into the daily EMA. They turned back up on Friday but this was the first day back up.
Let’s see if we get some nice two way trading in the morning session in these SPs! Happy Trading! Linda