11.01.2012 Wednesday

A dull day with range bound movement . As expected a mild tug of war between bulls and bears trying to test each other's support and resistance levels.
Earlier in the morning the 5 min chart indicated a double top where I entered a Short for intraday.
Price moved further sideways out of the blue Median line channel .The breakdown did not happen .Instead price went up further , tested the LMLH and reversed down again.The mood is of indecision on both sides I presume - bears want to go down but bulls are still gunning for an upmove till 4900 .We'll know which side wins tommorrow.
My bias is a retracement towards 4830-4800 level before the next upmove.This corresponds to Fib R % levels 4835 - 4807 ( 23.6 % and 38.2 % R of low on 8th january to today's high.
So holding shorts also for short term to manage the retracement.

5 min chart


60 min chart