monday update, page-3

Last Thursday was the 1/4 retracement of the rally from the full moon low to last Wednesday's high and holding that level holds the very fast move up from the full moon low in a strong position.

Friday showed some strength bouncing off that level (not a lot considering the stage of the exhaustion we appear to be at) and now the futures are looking strong for Monday's trading. Sure looking like it really wants to push higher, unless its a trick to suck in Asia, but I doubt it.

Current resistance:

1100.95 - 50% extension of the rally 6 March to 11 June

1105.8 - 1/4 extension of the rally 6 March to 7 August.

1106.47 - September 08 low.

Then:

1121.44 - 50% retracement of the bear trend.

1130.37 - 1/4 extension of the rally 8 July to 21 October.

1132.64 - 1/4 extension of the rally 6 March to 28 August.

1137.13 - 5/8th extension of the rally 6 March to 11 June.

I'm not trying to pick a top here but merely identifying the major levels that may influence the direction of the market. So for example, I wouldn't go long at 1128.