Wednesday, March 24, 2010

E-mini 30m

Kind of cryptic, but see if you get where I am going with this.

Bears - If it can crack that green support line right here then get thru the 50% line of the pink channel the bears may make it to to 50 to 47 area again. If the pink line goes you are looking at 1112. One would think that the recent divergence in the daily RSI would signal a bigger reversal is coming. (One would logically assume such action, but in this market you never know - that may be bullish LOL).

Bulls - If the green line holds or the cream dashed support line below it the march can continue.

Bottom line is we're in a really peculiar area right here. See if this run is finally about to roll over and about to break to the right (switch from Green to Pink). See if it gets pinched off running the upper pink TL and green support line here then reverses or if the yellow channel holds. These are just me thinking out loud. I think the 60m has some more downward pressure to work.The fibs are 56, 52 and 47 for this run. 52 and 47 would have to hit Friday if the yellow channel actually is in play. The 61 area is key support here.