Wednesday, March 18, 2009

Today's Markets

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This is a really nice looking chart. Notice how prices have risen and fallen in a nice pattern. In addition, prices have consolidated gains in bull market pennant patterns and then gone on to rise some more.

Prices have moved through the 10 and 20 week SMA with strong bars. The 10 day SMA has turned positive and is approaching the 20 week SMA. Prices now have two SMAs of support. The only problem is volume should be stronger for this to be a bona-fide rally. But, I think most people would take the gains so far.

I added chart of Fibonacci levels to show where a pullback from today's highs could go to. This way we know where sell-off target levels are.