Wednesday, 18 July 2012

Pre-Market Brief - its Bernanke day...again

Good morning. Here we go again, today will once again be all about the Bernanke, who speaks to the House Financial Services Committee at 10am.

Futures are moderately lower, sp-3pts, so we're set to open around 1360 - that is still pretty high, and just 14pts under the recent peak of 1374.




So...when is this market going to drop? We've now seen around six full weeks of a broad up trend. There is mention in many other places of a 'necessary gap fill' around 1367/70. That would certainly make for a perfect top in this cycle.

I will look to short around 1367/70, if we can cycle higher today.
Look to the MACD cycle on the daily chart, the third tower will be pretty close to completing today.

*there are 4 pieces of econ-data tomorrow, and I'm inclined to be short ahead of them, but as noted, it depends on the early action this morning.

Good wishes for Wednesday trading.