DOW

Gap at open? Island top? Exhaustion. Certainly dark cloud cover

its gonna take some thing special to push past that channel top resistance which goes back a long time.
im not shorting just yet as have a wave 4 subwave to come and maybe a last wave 5 sub to re-test the channel lines again.
But would be nice to see a another gap down so as it forms a island top like food4thought mentioned.

dl.dropboxusercontent.com/u/4899609/dow3rdmarch2017.png

very tempted to short with stops above the high but thats over 170 points. But i wont take the risk as i only ever place stops 50pips max...

possible 123 high formation?? or maybe the subwave 4 ive mentioned earlier.
I'm gonna short on a back test of 20777 if it moves there over the next few days on a first attempt basis during market hourswith tight stops of 50pips.


dl.dropboxusercontent.com/u/4899609/dow21stmarch2017.png



dl.dropboxusercontent.com/u/4899609/Scre...03-21%2020.53.09.png

I was thinking similar with the S&P500. I like the look of the lower high and subsequent sell off. I think the UBS guys had 2350 as trendline support. Be interesting to see where today closes.

Already short,
M

The short term trendline is at 23600 ,this is the level to watch as a break of this and the index could head down towards the 200sma which currently stands at 22721 and would also open up a test of the main trendline which is at 21900 area. I would be going long on a first attempt of the main trendline and also the 200sma.



This bounced of the 23.6 fib level perfectly yesterday.