Pristine Trading
0
All posts from Pristine Trading
Pristine Trading in PristineTrading.com,

Market Comments for Wednesday, March 11, 2015

 

Yesterday the market gapped down a significant amount and traded lower during the first hour of the day. The morning low was set at the 10.30 reversal time which caused a bounce in the market retracing about half of the move from the time the market opened. The market then fell to retest the low the day and remained sideways holding that support level throughout the day until the market traded lower into the close. This left a large red bar on the daily chart and the SPY was identical.

First, on an intraday basis prices are in intraday downtrends that are shown clearly and the hourly and 15 minute chart. The 15 minute chart is shown above and prices are in a clear 15 minute downtrend with a consolidation into the declining 20 period moving average. This means that this is a clear focal point of resistance, and to trade above “1” would be bullish for the intraday pattern. Otherwise the expectation is for intraday downtrends to continue. The next question is if there is any reason on the daily chart to suspect that this would be the area that prices would begin to resume their daily uptrend.