First off we are going into tomorrow really overbought on the 1h.
RSI in the 80s
MfI near 100
If we gap up I wouldn't chase the short, I'd be looking for a pullback and retest the daily 50sma.
If we drop below and close the 50sma then I would feel we are headed for a reversal back to 10,720.
If we close above 11,720 , the next stop is 12k (Weekly 21ema)..
Michigan consumer sentiment out at 10a.m EST tomorrow , could affect this here.
Also 11,720 would be consider a Neckline for a inverted head&Shoulder.
But like I said, we are overbought on the 1 and 2 hour frames, the type of overbought that could lead too a 200 point pullback
RSI in the 80s
MfI near 100
If we gap up I wouldn't chase the short, I'd be looking for a pullback and retest the daily 50sma.
If we drop below and close the 50sma then I would feel we are headed for a reversal back to 10,720.
If we close above 11,720 , the next stop is 12k (Weekly 21ema)..
Michigan consumer sentiment out at 10a.m EST tomorrow , could affect this here.
Also 11,720 would be consider a Neckline for a inverted head&Shoulder.
But like I said, we are overbought on the 1 and 2 hour frames, the type of overbought that could lead too a 200 point pullback
