Today's Support and Resistance levels:
S1: 119.79 R1: 120.80
S2: 119.02 R2: 121.28
S3: 118.54 R3: 121.83
Technical overview:
Yesterday we saw a break above the former top at 120.12. It reinstates the uptrend for a possible move towards the next targets at 121.28 and then 121.74. In the short term we would like minor support at 119.79 to protect the downside for the move towards 121.28. That said the very quick decline from 120.12 to 116.63 is not in accordance with our count and looks more like a part of wave 3 up from 100.32, that means we still have wave 4 to look for, but first we have to concentrate on the ongoing wave 3 and trying to determine the most likely termination point, which seems to be in the 121.28 - 121.74 area.
Trading recommendation:
We were stopped out for a small loss yesterday. As we have missed the best part of this rally, we will stay neutral for now and look for better opportunities.
