Monday - 25 Feb 2008
The market on Friday open at 3677 ( May's contract ) and closed at 3698. The highest was at 3720 and the lowest was at 3660.
The market open not within the ranged that I have suggested instead it open under 3690 and within minutes it retraced to the level below 3662. I did mention that the market would go further down had this level been broken but this did not materialise.After reaching this level, the market started to climb to the highest level ever recorded. This indicates that, if the market today ( Monday ) is not able to to proceed further up, it would mean that the market will be in a consolidation phase.There was also no clear formation of trendlines that could be noticed.
As for today, I would prefer to say that the market is still in the bullish stand. Any way if the market ends up in a small black bar or just small white bar , I would say the market will be in the cosolidation period. Just beware , if the market opens below 3689 and later passes down the 3672 or open at any point and later moves to pass down the 3672 level, it may lead to a further low. If not, as I said earlier , it may lead to indecision situation. If the market opens above 3704 and beats 3722 , it may lead to a further high. As for me ,I beg to decline to forecaste anything today except I would rather look at clear formation of trendlines such as head and shoulder, 3 tops etc.