Emini S&P held first resistance at 3272/75 and broke 3253/52 to target strong support at 3237/35. Bulls did jump in here as predicted for a 20+ point bounce to 3257.
NASDAQ continued lower to 8925, which I did not identify as a support level, but now I look again, there’s a 2 month trend line here.
Stock index support levels on a correction.
Emini S&P longs at strong support at 3237/35 work as we test first 23.6% Fibonacci resistance at 3257/59. A break above 3261 targets 3265/66, perhaps as far as a selling opportunity at 3272/74. Shorts need stops above 3279. A break higher meets quite strong resistance at 3284/85. We should be on in the short term at this stage.
Worth trying longs again at 3237/35 (we are in a bull trend!) with stops below 3230. A break lower however risks a slide as far as 3210/06. Try longs at 3195/90 with stops below 3180.
Nasdaq holds 2 month trend line support which has risen to 8955/50 today. We are holding first 23.6% Fibonacci resistance at 9005/15 but above 9020 targets 9040/45 and a selling opportunity at 9055/65, with stops above 9078. A break higher fills the gap at 9105/10.
Highly unlikely, but further gains meet a selling opportunity at 9140/50, with stops above 9165.
First support at 8955/50 but below here retests 8925. A break lower risks a slide to 8910/00, perhaps as far as support at 8860/50. Try longs with stops below 8830.
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