A dip and a firm rebound Tuesday from just below our 2862.25 support (from new support at 2860.0) having spiked above resistances to just stop at the 2900 barrier (at 2899.5), to reinforce a positive tone from Monday’s extremely robust intraday rebound, to leave risks higher for Wednesday.
European equity futures are also trying to base as highlighted here.
Exceptionally volatile price activity throughout August leaves an intermediate-term range we define as 2810.25 to 2944.25.
For Today:
· We see an upside bias for 2890/91; break here aims for 2899.5/2900 and 2920.75, maybe key 2944.25.
· But below 2869.25 opens risk down to 2845/43 and maybe 2828.75.
Intermediate-term Range Breakout Parameters: Range seen as 2810.25 to 2944.25.
· Upside Risks: Above 2944.25 sets an intermediate-term bull trend to aim for 3000, 3029.5 and 3050.0.
· Downside Risks: Below 2810.25 sees an intermediate-term bear trend to target for 2732.25/31.75, 2637.0 and 2579.75.
