Tuesday 5/5/2015

The daily chart shows price yesterday opening above the daily pivot and making a higher low and higher high. Price thus far today has opened above the daily pivot and traded in a tight range. If price can maintain its current price by day's end it will have succeeded in bending the blue MD MA upward, indicating price is on the upside of the multi-week cycle and that last Thursday's low was a half-shift MW low. We must keep in mind, however, that price could easily sell off by day's end and keep the MD MA flat to down. If the MW has not yet been seen, the market should sell off to make a lower low by the week's end which is the original projection for the MW low.

The hourly chart shows price making a 24Hr high with the 10:00am candle yesterday then correcting largely sideways the remainder of the day and overnight. It is possible that the 24Hr low was made 5 bars ago just under the daily pivot and that the last bar was a slightly higher session low. If so, it is not a good sign that price is having such difficulty getting over daily pivot and white 24Hr MA. The 24Hr high is projected for just after the NY open, and a lower 24Hr high would indicate that we are on the downside of the multi-day cycle. It was mentioned in yesterday's blog that we were overdue for the multi-day high and it was quite possible that the day's 24Hr high would also be a MD high. If so, the resistance of the daily pivot and 24Hr MA should hold and price should move lower to test the 2100 area (MD and MW MAs) or the blue weekly pivot at 2097 before finding its MD low which is projected for overnight/early morning tomorrow.