12/17/2013

Today's trading session saw the falling trendline retained when the resistances were tested. On Wednesday, we have a bunch of levels to watch for on the DJT. There's still the rising channel from November offering support at 7060. After that, it's the lower support of the current falling channel which is at 6975.

On the hourly chart, the low hourly closes that make the neckline of the reversal pattern seem to be acting as support. If this is the case tomorrow, 7095 might hold it up. It'll be interesting to see how that plays out.

Volume is painting an interesting picture. The DJT has more sell volume than buy side recently. Also, the hourly MACD histogram looks ready to flip negative.

It is definitely worth noting that tomorrow is another so-called 'Fed Day'. Obviously, I personally believe whatever will come out is already priced in. The US indexes have been bearish the past week, so I'm curious as to what Bernanke comes out with.

Oscar Carboni points out some diamond flags occuring:
https://www.youtube.com/watch?v=dqZAWRO-K7I

Dow Jones Transportation Average Daily Chart

Dow Jones Transportation Average Hourly Chart