Looking into tomorrow we can see a move upwards is the probable direction to be picked by investors and traders given a strong trend up being made. That being said, we need to keep an eye on volume. Money on this move up has been steering away as volume declines rapidly. It may have had something to do with Veteran’s Day today, but volume has been declining steadily nonetheless.
Let’s look at the chart for tomorrow:
CCI is ready for a breakout buy signal and a new high has been made today. This to me means we could breakout upwards and poise a big short squeeze. We have been looking for the market to draw back but perhaps it has drawn back as far as supply would let it. If we make a new daily high tomorrow the sky is the limit yet again. Let’s see if we can get the highest close on the year tomorrow. Momentum traders will push the markets higher if so.
If the market fails to make this new close above highs, then the market should roll over again back to the 50DMA of roughly 1060, as it appears to be strong support. This is my thoughts for tomorrow.
Good luck and happy trading!
Disclosure: No Positions