November 25, 2014

Market outlook

Trend is up and will reverse on close below 8300.

Today was first day of decline.. within an uptrend a correction of 2-3 days is allowable.

Recall that past few days advance decline was not supporting rallies... so today's fall is nothing surprising.

EOD charts:


Intraday charts: today intraday feed was giving problems for first hour so there are a lot of gaps.

I have shown areas where one can initiate a short trade... SL is above the upper range of the box.

Shorting justification is as follows:
1st box...  3 dojis with upper tails showing selling and no follow thru buying. Break of day's low is confirmation
2nd box... break of swing low is signal to go short.
3rd box... big bar finishing off whatever bullishness was there.

There could be a short trade even before the first box... this is something I would not know since my datafeed was not working.

Trade gets closed around 8450 spot.... horizontal line is SL.


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