A few analysis back, I extended the fib. ratio up to which point the retracement would fulfill a support and resistance based on prices that have formed previously. This is my way of working backwards and has worked at times. We have been inching up and so far this target of 2031 has been met with all retracements sitting on price resistance and support area. If we do start to turn down, the probable level to watch is the 38.2% near 1950. If price do exceed higher tomorrow I will see if it's just an overthrow or a clear continued up move in which I would have to move the Fib. line higher as well. Based on our 60min chart, the 38.2% level sits on our 200ma. On a daily chart, the same 1950 level is the 50% of the BB line also known as the 20day MA. Clearly a nice spot to park prices at.
Currently nothing has changed with our CIT indicators or sentiment. But our market sentiment of BEARISHNESS will change this week if prices do not reverse hard and at this point that is looking likely that a BULLISH sentiment will be signalled by weeks end.
MT: UP
ST: UP
PA: UP
Note: One thing to mention is that if prices continue higher the probability of it moves to the 2068 level where it would stretch the FIB. 61.8% to the 200 DAY MA support. The 38.2% will also be stretched to the 1973 level where it shows a few price support and resistance formed during late Sept. and early Oct. (also near the Daily Charts 75ma). This scenario would make prices pierce or touch the upper BB line before reversing which is currently at 2062.
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