Opening With A Roar
March has opened with a roar
as the Qs opened above our critical 13-minute “line in the sand” which
has held throughout the morning and sustained sufficient strength to pop the Qs
above hourly resistance as we approach midday. Strong ISM and Construction
Spending reports have helped to fuel the climb as end-of-month selling (which
resulted in a highly oversold close on our two key time frames) quickly turned
into beginning-of-month buying once again whipsawing those trying to trade
anything other than intraday.
Volume thus far has been on the lighter side,
which should make us somewhat skeptical of longer-term sustainability, yet our
trend and momentum indicators continue to guide us extremely well in the
interim. Given the strong climb, current resistances are limited to the daily
downtrend support along with Fibonacci extremes, with potential double intraday
long support establishing itself at approximately $34.60.
Friday March 1,
2002
Kudos to those
taking Thursday’s low-of-day break as a continuation short trigger as I
mentioned in yesterday’s
column, which paid off for many with up to $0.35 on the continuation short.
The potential cup I spoke of yesterday remains in play longer term and may
provide the next clues as to the Q’s next move.
Good Trading and Have a
Great Weekend!