Since breaking through the $777 level, buy and entry stops have pushed the price into a new range technically targeting $848.50 on the upside. The 40 day moving average and the previously mentioned $777 level should act as good support some $40 plus dollars below current levels. The huge $60 range on Friday corresponded with the short term recovery in world equity markets and any further strength in The Dow ahead of Thanksgiving could result in a test just short of $850. However any signs of profit taking could quickly see a move back down to the support close to $780.The short term trend is bullish, medium term sideways and long term trend remains bearish.
Support: $802.00 (yesterdays low) Resistance: $848.50 (high of 16th October)
Support: $800.00 (psychological level) Resistance: $844.15 (high of 28th August)
Support: $780.87 (40 day moving average) Resistance: $832.35 (yesterday’s high)