With the market building value and settling above the 1.4420 tpo balance
point, traders can set countertrend longs in the 1.4400/1.4460 level for a move to
1.4640/1.4700 where we would take profits on all longs. We then look to set shorts in
the 1.4800/1.4860 level. Building value and settling below 1.4320/1.4340 cancels our
upside and signals to sell for 1.3520/1.3645.


The market reached our 1.6110/1.6140 level, (1.6195 high), where traders who
have not done so can reset shorts as we look for 1.5960, 1.5720/1.5760, 1.5585/1.5640
and then 1.5225/1.5335. Building value above 1.6155 and settling above 1.6260 tells
us to exit shorts and look for a move to 1.6430/1.6470 where we would reset shorts.


We have been waiting to set shorts and understand the market may still trade
up to the 94.00/94.25 level. Let’s use the Jan 7th curve from the recent highs to see if
we can get a jump on our expected down move in the event the market does not
make it to our 94.00/94.25 level. Traders look to sell in the 92.35/92.75 level for
90.85/91.05 and lower. Building value and settling above the 93.00 midrange signals
to cover shorts.