Thursday, February 26, 2009

Market update - Feb 26th '09

Sorry for yesterday... A LOT of work unfortunately distracted me from my daily report.
Despite the fact we are on key levels, nothing major happened yesterday, so let's review the day ahead now.

Trading range below key 406 level ahead of anticipated target as mentioned on previous report. While selling pressure could abate slightly with a likely slowdown near stall level (~390), we are still aiming at that target range made of stall level, Fib expansion target (384) and strong MM support (375). Indicators show some potential bounce to the high 410s before we get there even if such inflexion is not visible yet.

As discussed in previous reports, ES is slightly ahead of ES as it already is on its 750 target. The pattern is however similar and the bounce is already visible. While leading a bit, the outlook remains the same: no recovery right now and ES test lows again. On the longer term, we can still believe in a double bottom scenario but we certainly have to see selling pressure dissipate.

Note on EURUSD: 1.27 is KEY level (still short...)

( posted 6:20 AM UK )