Volatility Returned
Dow Jones Industrial Average:Volatility returned to the Wall Street ! Dow lost 249 points on Friday and closed October with a Doji candlestick signaling indecision.
The long term up trendline is still intact but we are getting too close to the trendline for comfort. Chances are the pull back from 10,157 on Oct 20 to Friday intra-day low of 9,664 is a healthy retracement but if the up trendline breaks then we can expect 9,400 next.
Straits Times Index:
On October 15, STI broke the resistance at 2,707 and hit a high of 2,739. Unfortunately, it has immediately fallen back to the trading range. Similar as Dow, October monthly candle was a Doji signaling indecision.
On October 15, STI broke the resistance at 2,707 and hit a high of 2,739. Unfortunately, it has immediately fallen back to the trading range. Similar as Dow, October monthly candle was a Doji signaling indecision.
The symmetrical triangle that I have suspected appear to turn into a bearish wedge instead. With Dow losing 249 points, I can't think of any reason where we could avoid a blood shed tomorrow. Immediate support is 2,605 and 2,575.
Labels: Market Direction
posted by Market Wizards @ November 01, 2009
Comments: 0
