SP500 Support at $1,360. 2012.05.09

The S&P closed yesterday above the main support level of $1,360, after the bears dominated the first half of the session.

The bulls managed finally to keep their bids high until the end of the session and they formed a hammer type of candle that usually anticipates a rising move when it occurs at the end of a down swing.

Having all the Europe uncertainty in mind, a reaction is possible and the targets are represented by the 3 main Fibonacci levels: 1,374, 1,381 and 1,389.

Bank of America (BAC) - In a large support zone. 2012.05.09

Bank of America shares price are continuing the corrective channel that started in late March.

The price has reached in the large support area between the $6.90 and $8.13 levels that are representing the 61.8% and 38.2% retracement levels of the December-March rise.

A bullish engulfing pattern was formed on Monday that usually anticipates a price rally. Other clues for an eventual rise are the break above T1 trend line and the break above $8.13 resistance level.

3M Co (MMM) - Strong resistance in the $90.00 area. 2012.05.08

The 3M shares price reached the $90.00 resistance twice in the last couple of months which is stand in the same area as the T1 trend line.

The most probable scenario is a correction in the next few weeks, targeting the $85.00 support in the first stage. If no great news will occur, than the investors will react to the multiple resistances in the $90.00 area.

On the short term the price action created a rising channel which was broken yesterday. This usually triggers a sell signal.

DAX Technical Analysis. 2012.05.08

DAX Index opened lower yesterday (almost -3.00%) after the Greek and French elections over the weekend and made an intraday low at 6.410.

The early April analysis of DAX (http://en.goldring.ro/analysis_details.php?analyse_id=2396 ) revealed the market risk for the mid-term and now, after a month, the main support zone (6.270-6.480) was finally tested.

The main focus for this week is on Greece, where a government coalition must be formed as soon as possible. A success in this matter will turn the sentiment, at least for the very short term. The first resistance is at the 6.650 level.

In case more bad news from Europe will come and US economic releases will disappoint, the market is expected to fall below the current support of 6.430.

Merck&Co (MRK) - reached the fisrt resistance. 2012.05.02

Merck&Co shares price reached the first target at $39.50 set a month ago (http://en.goldring.ro/analysis_details.php?analyse_id=2377 ).

The main target still stands in the $41.17-$41.50 area and the first support is at $38.93. The mid-term perspective shows a break and retest of the bearish channel bordered by the T1 and T2 lines. This scenario confirms the high probability of a rising trend in the next weeks.

Bank of America (BAC) - support at $8.00. 2012.05.02

The daily chart of Bank of America (BAC) shows that for now, some of the investors considered the $8.00 level as a good support and a buy opportunity.

As mentioned in the previous analysis (http://en.goldring.ro/analysis_details.php?analyse_id=2502 ) the 38.2% retracement level of the December-March rise could be a reversal level as it stands in the same area as the February congestion area.

However, the volumes in the last few sessions are not big enough yet to offer confidence for the bulls. In case of a reversal in this area, the first target will be in the $10.00 area, followed by the $11.30 area.

DAX technical Analysis. 2012.05.02

The DAX Index reached the resistance zone mentioned in the previous analysis, between the 6,850 and 6,930 levels that corresponds with the 50.00% and 61.8% retracement levels of the previous down swing.

Today was mainly dominated by sellers as the concerns regarding European debts are still worrying the investors.