Good Morning Traders Worldwide.
If there is one “thing” that traders/investors loath, is “uncertainty”…especially when it involves country or region unrest. Traders tend to sell first…figure the ramifications out second. Such as with this morning’s 30 handle overnight sell-down as the Ukraine crisis deepens.
Back to the numbers…To keep everything in perspective, Mr. Mkt has been rising quite steadily in a well-defined channel. Advances measuring 25+ handles, followed by retracements of equal magnitude, providing the longer-term trader/investor buying opportunities. So with price currently off 25+ handles from 1866.50 high qualifies as a normal retracement. Whether or not unrest overseas contributes to further selling is yet to be seen…We Trade The Numbas!
We begin today’s session with price under pressure, so as intra-day traders we must respect price at all times. Initial support is expected to materialize between 1833 – 1836…We would be interested in buying this zone provided the “BIGS” become responsive buyers themselves.
Prior Day Low (PDL) 1845.25 through 1847 is anticipated to be initial supply/resistance. Any deeper upside trade should encounter additional supply 1848.50 – 51 zone. We would be sellers into either of these zones looking for responsive sellers.
As we have been opining recently, benefit continues to remain with Bulls, since any and all pullbacks have been bought. Until there is a definitive sentiment shift and price structure break, we remain longer-term bullish, while being short-term (day-trade) opportunistic long and short.
Stay Disciplined…ALWAYS USE STOPS!
I am willing to accept loss. Losing is an integral part of the process. I know and accept that individual losses and losing periods will happen. They are endemic to trading. I do not like loss. I do not expect loss. I simply accept loss as a cost of doing business.