DJI Weekly Chart
March 7th, 2011
We finally rolled over on the Dow Jones weekly chart. Short term trend is down, but the long term trend is still most definitely up. Using history as a guide (the following chart) we can anticipate a possible correction with a duration of a couple weeks. I pointed out a few of the corrections in the past 2 years on the chart. Yellow line is 100 day moving average. As long as that line is ascending I have a bullish bias.
My L1 watch list keeps growing daily. It is still too soon to pull the trigger though. I’m still hoping to fill April inventory, but my last few trades have been June expiration. A 1-3 week correction will help my chances of getting some decent April premiums.
DJI Weekly Bars