November 22, 2010

S&P 500 futures before opening bell

  • ES four hour chart with Fibonacci levels.
  • Price rallied up to 61.8% level and sold off from there. 38.2 level may act as support now with 50% as the mid point.
  • The chart is developing into an inverted head and shoulders type of pattern. If 38.2 level holds and a consolidation happens around here we may see a positive structure developing in favour of bulls. Trading below 38.2% will favour bears.
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