Monday, 19 September 2011

Last week's rally appears finished

Hourly candlestick charts shown below.

The corrective upwards trend channels formed last week for both the S&P 500 and EUR/USD have been broken to the downside today. Perhaps we shouldn't draw any conclusions until the upcoming US session is under way or complete, but all I can do is report and trade based on what I see before me. If the US session confirms today's weakness, the larger degree bear trends for both markets will likely resume their pull and result in new downwards thrusts.

S&P 500