Wednesday, 25 September 2013

E mini S & P: Are sellers in control of this market? + US Dollar index approaches critical support


USDX: This is a reaction line study using historical non- Andrews PF's ("FNL" pitchforks) in weekly and monthly TF's. The actual forks are not visible here except for their RL's. The lines are drawn at specific intervals and represent warning + reaction lines from pitchforks drawn off three or more different sets of pivots some of which share the same P0 & P2 but not P1. They have captured the frequency. Here is a link to a previous post on this blog about USDX using the same charts


These two charts are identical but in LOG scale

and in arithmetic scale again below:





 EMINI S&P & DOW

Are sellers in control of this market? All recent attempts to rally have petered out like a damp firework and have been accompanied by  low volume. We failed yesterday at 1700 after a promising move higher. 1685 represents a horizontal ML location and if we break lower there are at least 10 big point before i can see any structure which lies around 1680. My own view is that we could see support here (1689 ES Z13) which represents a .382 Fib RT of the move since e/o Aug and on the emini Dow a .50 Fib RT



 Watch the reaction line currently in play below in the emini Dow around 15290.. a break off the forks LMLP and up thru the RL could indicate a e/o week rally or conversely further weakness. For ES It looks probable that price will retest 1700
Below is the horizontal support in ES showing the big fork plus the detail of price distribution around its UMLP in lower time 60 min frame.



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