|
Todays Outlook for Dow Jones Futures.
Tuesday, February 07, 2012
by Carol Harmer of Charmer Charts
|
|
Mini Dow Jones is now approaching the 2011 highs of 12873. Clearly this is a very critical level and considering the market is now severely over bought on the long and short term charts, there is a very strong chance that the market will top out just below this level. We cover all long positions as we approach this resistance and attempt shorts. Stop losses on these short positions are needed above 12984 as if we make it through here the market will have broken higher and will be clear to try for a test of resistance at 13133/40. Failure to break above last week's high at 12833 soon could start to trigger profit taking as traders feel that we have got close enough to the 2011 highs at 12873 and have been unable to challenge them. Watch for the market to come back to 12748 and then 12735/22. Below here we have better support in the 12696/82 area so cover all shorts here and perhaps attempt longs in the hope of a small bounce towards 12800. Stops on longs positions needed below 12654 as this opens up the risk of further losses to 12622/12 and possibly 12558/50.
Recent articles from this author
- Charmercharts Bond Report: 15th May - Tuesday, May 15, 2012
- Charmercharts U.S mini report - Monday, May 14, 2012
- Charmercharts Gold and S&P 500 report - Friday, May 11, 2012
- Charmercharts Forex Report: 9th May - Wednesday, May 09, 2012
- Charmercharts European equity report: 04/05/2012 - Friday, May 04, 2012
About the author
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.
|
