Yesterday’s “jumping the creek” price action tested highs at 1703 only to be rejected as price retraced back to 1688 handle which we highlighted live in Trading Room as potential dynamic support.
Overnight trade continues to hold the 1688 handle support as trade quieted down and has settled into a narrow range as of this writing (8:00am). With the FED beginning its two-day meeting today with subsequent announcement and press conference, traders and investors are expected to tread (trade) lightly ahead of tomorrows decision.
Gap support at 1688 continues to be “key marker” for bulls…IF this level is violated, THEN deeper retracement would bring price back down to fill-the-gap within key zone 1677 – 81.
Successful hold of 1688 would embolden the bulls…and setup a potential move back up to challenge prior highs. Today’s CPZ 1693.75 is initial hurdle followed by 1696 and 1699 respectively.The 3-Day Bullish Cycle price targets have already been achieved and exceeded, so any further strength is gravy for the bulls.
Remain alert and focused on valid trade opportunities.
I know anything can happen, and I can handle anything that does happen. I am open minded. My thoughts and perceptions are clear. I know what to look for. I have rehearsed everything. I adapt to change. I will listen to my indicators and the patterns that emerge. I will adjust and not demand that things continue as they first started.