General overview for 01/12/2016:
The clear break out above the long-term golden trend line is the first classic signal of an upcoming bounce/trend reversal. According to the Elliott Wave Principle, the market had finished the ABC correction in form of an irregular flat pattern and now the bulls are trying to rally higher. In the longer perspective the top of the wave 1 at the level of 149.74 might be in danger as wave 3 unfolds. Nevertheless, first the bulls must break out above 200WMA around the level of 133.00 in order to confirm the trend reversal.
149.74 – Swing High
133.00 – 200WMA
125.94 – Technical Resistance
109.55 – Swing Low
First two impulsive waves are already made and now the market is trying to unfold wave three. In that case, only swing buy orders should be considered. *.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.