Could today be the first day of a heavy selling by the big sellers or were they actually planning a selldown so that they could purchase more to elevate the market higher? The probability seems to favor the second option. For the past few days, big buyers had put out purchase with 4 days of continuous up bars. Psychologically, if they had already started buying a few days back, why would they want to take profit or start short selling today when the risk and reward ratio do not justify their risk entry? I mean simply put it this way, if they are buying at $1, why would they want to take their profits at $1.1 when they could take it at $1.3? Based on this assumption, i am presuming the market would continue it's uptrend until it hit the major resistance at 3230. To know whether if this will materialized, I would need to judge how much follow through on tomorrow and the actions' of the next few days.
Ronald K
