Weekly Report 9th February 2015:
Last week the XJO posted a “3″ Candle where the body of the candle is above the Midrange of the week.
This is a bearish candle.
With Dividends coming out of the market in next few weeks this will show in Index
This Mid range value will now become intra week support.
The Dow marches on after touching the 200 day moving average.
The daily chart shows the breakout from the pennant with a weak day showing on Friday.
Expect a retest of the breakout back to 17500, this level is now significant support.
This consolidation can simply continue, however with the strong jobs report I would expect a higher market soon.