Tuesday, June 14, 2011

Support and Resistance

Here 2 trades i made yesterday in the SP-500 Future. They involve support and resistance and how support can became resistance later.

When the market cross down this last low there is nothing that can stop it in going to the next support level, the market open.

Short position open:


Just a few minutes later, exit:


After the break of the market open support, the market go up to retest this levels but fails, at this point the support became resistance and the market start pulling down.

Open position to the short side:


Next support could be at 1.268, the trade end at those levels:

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