Yesterday capped another positive 3-Day Cycle as price retraced back to January 23rd breakdown level. Bulls are clearly in control, so the trade strategy is simply “Stay the Course” of buying pullbacks to key reference zones.
Current momentum seems to have enough inertial energy to propel price up to 1832 – 36 zone as long as Prior Day High (1827) in penetrated and converted. IF the bulls decide they want to take a break, THEN a pullback to 1813 – 1818 zone marks Key Support Zone. Failure to hold this zone calls for revaluation of bullish strength…Lower Zones to keep in mind are 1800 – 02 then, 1790 handle. We will continue to be buyer into key zones until proven otherwise.
Be sure to Always Use Stops!
I think in terms of probabilities. I do not know, all I have are probabilities. Probabilities are at the core of my decisions. Through consistent application of the probabilities, I will win.