It is interesting to see the huge volatility exhibited in the last week of trading.
This maybe a sign of uncertainty by market players, as to the direction of the market.
This comes in the wake of a sell down beyond index multiyear lows. Naturally, Shorts will be cautious and Longs hopeful to bottom fish.
However, the hourly chart shows a few details :
a) That the downtrend is still very much in place
b) That the recent oversold condition is temporarily resolved, but this could spur a new round of selling into strength
c) Immediate resistances have been identified at 1250, 1280 region. For this 3 weeks downtrend to be technically broken, these 2 resistances must be breached upwards convincingly.
d) I cannot see any basing action as yet, hence, i cannot be certain that market will not go further down.
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