Friday, February 13, 2009

Today's Markets

Click on all images for a larger picture.

The main issue on yesterday's chart was the huge rally at the end that forced a bunch of short covering. There was a rumor running through the markets that the administration was close to announcing its mortgage plan. This led to a lot of excitement etc..., which in turn led to the rally. This was a good thing because.....

Without that rally prices would have closed below key support levels. The situation is much clearer on the Diamonds: