Monday, January 11, 2010

ED is still alive...



With the market being rejected at 1150 (my upside critical level for the ED scenario), the ED scenario is still alive. We still need a confirmation with a break below today's low at 1142. We have the 34 hourly SMA coming up at 1139. But be aware that the market could still subdivide into a bigger ED with a move down somewhere between 1121 and 1128. It won't be until we get consecutive daily closes below 1113 that we will have a confirmed downtrend.

On the globex chart it looks like we may have a nice wave 3/C tomorrow. It could get interesting...
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