Monday, November 22, 2010
Here is an hourly bar chart showing the past couple of weeks of 24 hour e-mini trading.
I think the second down leg of this correction started from the overnight high at1206. If it carries the market down as far as the first leg did (54 points) it will end near 1152 (blue dash rectangles). That level is also at the confluence of the lower trend channel line and the 1155.50 low made on October 19 (green oval).
Once the market reaches that target zone I expect the beginning of a move up to and above 1225. The 1300 level is still likely to be reached by April.