Looking For Higher Low Within My Range
In the last week I have been calling for a market pullback which should last 1-4 weeks to somewhere in the 15500-15900 range. Today the DOW Jones Industrial Average was down well over 300 points with biotech stocks really taking it on the chin. The print low today on the DOW was 15981. I am confident that the market should make a higher low. I am 75-80% certain that the low for 2015 will remain at 15379. I will be looking at stocks such as HD (Home Depot) and SBUX (Starbucks) on the daily charts. Last week the DOW was in the 16500-16600 range and I was pretty certain that we would get this pullback that we are starting to see now.
Oil was down well over a dollar today. I have no opinion on oil and I am on the sideline with a wait and see attitude looking at the daily charts.
Gold had a great day on Friday trading above 1150. I said I am looking for a pullback in gold into the 1127-1135 range. Today gold traded around the 1127-1128 range. I think gold could have one more day down before we move back up again. This is a trade only on the daily charts, nothing long term. I am bearish long term on gold and the weekly charts are bearish long term as well.