The Dow found support today around 11400, more or less over the internal trend line.
Both 10 and 20 days momentum are positive. The index went from 10655 to 11644, a 9+% gain in 9 trading days, a consolidation was mandatory.
Most of the times the first up waves after a big drop retrace up to a 75% of the movement so be in the lookout.
Resistance at 11600 must be broken decisively for a continuation of the up leg.
Anyway November and December are coming.
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- Erick Stern
- I am a civil engineer who likes charts, to me, speculating in the markets is both a hobby and a second profession and in my view the stock market is the most honest environment, since it is only your knowledge and preparation that matters. I live, and work in the construction industry, in the Dominican Republic. I read and answer all my mail so please feel free to write email@example.com Thanks, Erick