Monday, March 14, 2011

Trade Guideline for Tuesday - CRASH ALERT

Following multiple explosions at Japan's nuclear reactor, Japanese Nikkei Futures took a very steep dive, taking down the global equity market with it.

Without any concerted intervention by world central banks overnight prior to the opening bell on Tuesday morning, it is possible that we will see a major stock market sell-off / crash right from the opening bell on Tuesday.

  • If so, I will be looking for 2250 as first support, then 2200.
  • Below 2200, next lower support is 2050
If the futures market can stabilized at the open on Tuesday I will be using 2280 as key Line-in-the-Sand.
  • Bullish above
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