Eastman Chem & the S&P 500
11/30/1999
Eastman Chem
After forming a bullish double bottom during November/December 2011 at the structural support region of $35.93, prices have since soared significantly higher. We advised members to go long just above the recent consolidation around the $46 region mid January.
After triggering our long entry at $46.19, prices gapped substantially higher on Friday, 27th January, on the back of positive news flow which resulted in Eastman Chem moving substantially in our favour. Our members were thus able to capture a handsome profit on this trade recommendation.
http://www.advfn.com/p.php?pid=col_image&img=EASTMAN+CHEM
S&P 500
Looking at the week ahead, our previously identified short term upside target of 1,329 (127.2% Fibonacci extension) was met during trade on Thursday, 26th January. Several reversal doji’s have since formed, signalling an exhaustion of the recent advance. Coupled with the overbought RSI is indicative of momentum waning. In the near term, we would expect prices to rotate lower, targeting a test of structural support at the 1,292 level, being the previous breakout area.
Broader term, the upside targets are indicated at 1,356, followed by the May 2011 high of 1,370.
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