Tuesday, December 12, 2006
Here is an hourly chart of the March S&P e-mini futures. I commented on this market earlier today.
As you can see the market is putting in a wide range up hour in reponse to the Fed's decision to leave rates unchanged. Note that there was no follow through to the preceeding wide range down hour and the low of that down hour was on support. Morover the market has retraced nearly all of that hour's break during the current wide range up hour.
This tells me that the 1417-19 support zone is being aggressively defended by longer time frame bulls. I conclude that the market is now headed for 1437-39 resistance.