I only want to be aware of where price has been in preparation to trade when the market is ready to move. In the business of trading for a living, we have to avoid becoming emotionally attached to a prediction.
The range is between 18200 and 17681, a lot of potential for day trading. If trying to position trade, there is a lot of sideways price action to contend with, I am biased to the upside for my own long positions.
*Pundits calling for correction, could this be it?
USD has been on a tear without a rest, the EURO is due for a correction, not possible to time the market so I am holding my biggest position Jan 2016 100 call, managing losses/triage until when/if the Euro/FXE recovers.
In short, DIA looks to be in a ascending triangle bullish pattern. Resistance at 182.68 is a real possibility, testing all of the long positions commitment. DIA over 183 will force a lot of shorts to capitulate and all price to move higher. I don't think next week we will see DIA over 183, for my accounts sake, ...
The bulls have pushed the market higher for 9 consecutive days, I'm looking for some profit taking before the end of the week. I keep the charts simple, areas of support and resistance, a good day trading opportunity may present its self this week in the area of 17k. I am "SHORT" biased, but I will get long quickly ...
This week, the bulls and bears are going to fight for control of the direction of the market. Bulls will be wanting to take the YM higher in hopes of reaching 17k. Durable goods, FOMC, GDP and Jobless claims all this week will give both bulls and bears a lot to digest.
I am neutral... AKA, prepared to go either way.
Anything can happen, SPY can go higher on Monday, but eventually it will pull back, I'm thinking 190 is its last area of support, if that is broken I will no longer be neutral, I will start looking into buying some puts.