DJIA and Nasdaq 100

DJIA and Nasdaq 100 for the week starting 14th May 2012

Identifying the major support and resistance, trade according to your belief.

Once market crossed the mark, relax, and stay tuned.  There is trading opportunity every week, everyday, every hour.  No rush, patience, and wait for market to unfold the story, make quick decision when the time is near, take 100% responsibilities and accountability of your own trading account.

DJIA

DJIA has marked another bearish candle for the week, and as per our forecast, market found support at 12850 and closed near this level, last done 12820.

Ultimately, DJIA has tested below 12750 and it is now is a bearish tone with the Eurozone turmoil, in line with many other economical threat.

We have observed market rebound at 12750 region, and market was trading sideway in a flag pattern waiting the next breakout.

We reckon market to trade within tightening range between 12750-12920 for 2 days before the next bull / bear emerge.

Resistance 12920

Strong Resistance 13050

Support 12720

Next support 12685

Once break below 12685, target to reach 12530.

Nasdaq 100

Similarly, Nasdaq 100 continued the downfall, achieved our target 2610 and tested below strong support 2795, and finally close at 2615.

This week we expect market to trade in range between 2590 – 2665.

For Monday & Tuesday market is more likely to test current support 2600 before going up to test resistance 2660, I personally favor to long around 2604 – 2609 pts. (against the market sentiment) for a quick trade.

Next is to observe resistance of 2665, if market is bearish, and formed a bearish candle in 4H chart while testing 2665, then I would prefer to short and wait for market to test support 2610-2615 towards end of the week.

Cheers, lets make some money

Ayumi