Today's outlook for S&P and Dow Jones futures
Friday, September 03, 2010
by Carol Harmer of Charmer Charts
|
|
S&P traded higher and came to 1090 where buyers took profits. We have good resistance at the 1090/92 and after such strong moves higher we are a little overdone on the topside. If we cannot break 1092 sellers would take this opportunity to correct the market to lower levels with 1073/71 then targeted. If we can hold onto this support we should be able to try for the topside once more.
Now if we can make a break above 1092 correction will have to wait, as buyers get to grips with being back in control once more and take us higher for 1099 then 1104/06.
Dow has hit 10316 and if we cannot break this point early on we would have a small double top on the charts, leaving Dow looking to correct slightly to ease the overbought conditions.
However, a break above 10316 would leave buyers well placed to trade higher with 10367 then the targeted area. Buyers would be advised to cover all longs to here just in case the sellers gain back control. However above 10370 sees them back in the game for 10385 then 10422/26.
Support is at 10245. if we cannot hold onto this support look for 10180/70.
Carol Harmer has over 30 years experience of analysing and trading the world’s markets and is undoubtedly one of the most respected technical analysts in the world today.
Her career started in the early eighties, trading futures on the floor at LIFFE where she quickly discovered Technical Analysis as a way to maximise profits. She was one of the first traders on LIFFE to discover and study this form of analysis and quickly became widely recognised as an expert in its use as well as highly profitable.
This soon led to a position as Senior Technical Analyst for Midland Bank.
She was later head hunted for the role of Manager of Technical Analysis for Nomura Bank and then as Head of Technical Trading at Credit Suisse. Carol is also one of the first T/A's from a bank to join the STA (The Society of Technical Analysts) in the mid 80's and has trained and worked with some of the UK’s leading technical analysts.
In 1996 Carol launched 'Charmer Charts' to train independent traders in technical analysis and became the first person to provide daily forecasts for the established traders on the LIFFE floor.
She returned to the floor, trading her own account, advising traders throughout the day and continued her appearances on Bloomberg, CNBC and Reuters financial TV where she provided her valued, expert opinion on the direction of financial markets.
