December 22, 2011
- ES Daily chart shows price testing 200 SMA. Bulls have failed at this level many times in the recent past. So only if price sustains above the dotted line we may get a real breakout.
- 200 Period SMA of Four hour time frame may act as an important support level which bears need to break in order to trigger a bigger correction.
- Price has broken yesterday's high. Now closing near day high or above 4707 will help bulls to extend gains.
- Price has crossed 50 Hour moving average which was shown in the below chart.
- Day low acted as support(4634)
- Now for bulls price should stay above yesterday's high of 4707.
- Weakness below today's range high 4677 from which the breakout happened.
- Nifty is not able to cross 50 Hour SMA decisively.
- Strong up move can be seen if price sustains above 50 hour SMA.
- Recent fall took place from 50 hour SMA So one should watch today's low for a possible breakdown.
- Strong above 4677, weak below 4634.
- If yesterday's move is to continue price has to break above 4750.
- Price has to close above 5 Day High EMA and move above 20 day SMA for a sustained up move to happen.
- Stochastic is yet to turn up above the oversold line. If it moves above the oversold line price will gain further momentum.
- 5 Day High EMA is at 4718
- GOLD CHART ANALYSIS