Wednesday, 29 May 2013

Dow breaking lower from hourly trend channel after perfect retest of top channel lines on weekly, daily, and hourly charts

Arithmetic scale charts of the futures shown. Weekly chart first.

Daily chart which also shows the weekly chart channel, to show that last night's high perfectly retested where the daily and weekly channels crossed.

Hourly chart next showing a retest of the top line of yet another channel. So all up, retests of three different channels last night, halting at the point where all three intersected. Remarkable. Also meaningful? Time will tell.

The market is currently looking to break lower through the hourly chart trend channel. Could this be a case of something small cascading to become something much bigger?