Emini Dow Jones breaks very strong support at 26200/150 to hit 25953
|Emini Dow Jones – Nasdaq
Emini Dow Jones December bounce from the September low at 26420/400 topped exactly at the first target of 26800/850. We then collapsed again to very strong support at 26200/150.
Nasdaq we wrote: Gains are likely to be limited with resistance at 11370/420. Shorts need stops above 11480.
Shorts here worked perfectly on the collapse from 11457 to strong support at 11100/000 for 350 tick profit.
Daily Analysis
Emini Dow Jones breaks very strong support at 26200/150 to hit 25953. However we are very oversold & it is possible we bounce back so obviously watch the 26100/200 area. Holding above here puts bulls back in control targeting 26400/450 & resistance at 26700/800.
A break above here is a buy signal in targeting 27000/100. A break below 25950 however keeps bears in control, despite oversold conditions targeting 25880 & 25750/700, perhaps as far as 25550/500.
Nasdaq tests very strong support at 11100/000 in oversold conditions. A break lower meets a buying opportunity at the 2 year trend line 10800/750.
Longs need stops below 10650. A weekly close below here is an important longer term sell signal. Longs at very strong support at 11100/000 need to see prices back above 11200 which then opens the door to 11300/350. A break above 11400 is a buy signal targeting 11500/550.
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