Bullish or bearish?

In terms of the intermediary trend, there is a good chance that we may have a trend reversal towards the long side given that we had a double top (13,100) breakout at 13,150. But is this the beginning of a bear trap? I would argue that we need some type of base building here in order to prepare a good reversal to the downtrend we have experienced from 14,300 to 12,800. I actually mentionned that in my previous post.


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Notice the close on the 13,050 box which might be the beginning of a new column of "O". I can live with that unless we get a channel support breakout at 12,850 where I would be forced to hedge my long portfolio, again ... But for now the odds favor a possible bottom of such a column of "O" above the bottom of 12,800 but remember that we are now facing formidable resistance from 13,150 to 13,350.

In any event, the market did not like Bernanke's press conference from 2:00pm to 3:00pm EST as shown below:


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Pierre Brodeur