Market is now hovering around the key fib' retracement level of 61.8% - sp'1363. Considering the underlying momentum...further upside is still possible. However, this could be the top of this 12 day wave'2.
It'd take a brave, and arguably reckless bear to be shorting at this level. Although in price terms...1363 is a long way up from 1266 !
sp' daily, fib levels
sp' daily, 4mth
Those bears who have been short since last Friday will understandably be pretty disgusted at todays action. I can't blame them for shorting, but they were fighting against the short term up trend. We remain in what is surely a wave'2. The good thing...'3 should be starting in the next few days. So, those bears already underwater, should have a good chance at seeing things turnaround reasonably soon.
I..remain awaiting the FOMC decision...as should the rest of the doomsters out there.