The futures are up very strong this morning. If we close near the highs today or show a consistently strong day with no late day sell off then I am going to have to conclude that the three day correction we just had was only a classsic Wyckoff retest of new support.
If that is the case then this action is very bullish and points to possible continuation higher. A strong reaction higher from new support is bullish type action.
I am closing out the BOT short signal and switching to neutral on the premise that today will prove this support area and then possible lead to continuation.
There is always the chance that today’s rally will be a gap and crap (strong rally with late end of day hard sell off) but will just have to wait and see.
If the market can close strongly higher today it will go a long way towards invalidating the weekly gravestone doji I was referring to yesterday.