Best Financial Markets Analysis Article Since we introduced the EUA contract to the Commodity Specialist Guide in July the market has been recovering towards its May peak of 16.00. However, recently a clear break of uptrend has favoured the bears, but key support may not be far off.

The Commodity Trader’s view

WEEKLY CHART - CONTINUATION:

The 38.2% recovery level has proved a tough hurdle to pass, and remains first key resistance on this long term chart.

However, we think that shorter term weakness will prove temporary and we have identified two key support areas – see below.

DAILY CHART – DEC-09:

The break of uptrend and small channel base were clear bear signals – currently s/term rallies are still viewed as temporary.

A close below the old 13.00 38.2% pullback level will be the next bear sign, but the first of two key supports then lies not far away – the 12.00 area which encompasses the 50% pullback, bear channel base projection and a Fibo projection just below.

We would expect at least temporary support from this.

Lower down lays 10.22/9.93 (another Fibo projection and 76.4% level) – this becomes next bear target if the 12.00 area fails.

In the Guide we have tried to sell on suitable rallies towards the 14.66 02-Sep low, but have not had the satisfaction – but currently we are still sellers on suitable rallies.

Mark Sturdy
John Lewis

Seven Days Ahead
Be sure to sign up for and receive these articles automatically at Market Updates

Mark Sturdy, John Lewis & Philip Allwright, write exclusively for Seven Days Ahead a regulated financial advisor selling professional-level technical and macro analysis and high-performing trade recommendations with detailed risk control for banks, hedge funds, and expert private investors around the world. Check out our subscriptions.

© 2009 Copyright Seven Days Ahead - All Rights Reserved
Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

Seven Days Ahead Archive

Comments

Ashley
06 Oct 09, 10:25

information

I find this article very interesting. Also i want to share with you this page that i found ones looking for information. I hope you find it useful

Ashley.

Only logged in users are allowed to post comments. Register/ Log in

The Market Oracle is a FREE Financial Markets Forecasting & Analysis web-site.
(c) 2005-2024 MarketOracle.co.uk (Market Oracle Ltd) - Market Oracle Ltd asserts copyright on all articles authored by our editorial team and all comments posted. Any and all information provided within the web-site, is for general information purposes only and Market Oracle Ltd do not warrant the accuracy, timeliness or suitability of any information provided on this site. nor is or shall be deemed to constitute, financial or any other advice or recommendation by us. and are also not meant to be investment advice or solicitation or recommendation to establish market positions. We do not give investment advice and our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to enter into a market position either stock, option, futures contract, bonds, commodity or any other financial instrument at any time. We recommend that independent professional advice is obtained before you make any investment or trading decisions. By using this site you agree to this sites Terms of Use. From time to time we promote or endorse certain products / services that we believe are worthy of your time and attention. In return for that endorsement and only in the cases where you purchase directly though us may we be compensated by the producers of those products.