Today I am looking at resistance at the top of the daily Bianca channels at the 7490 area and support from the 2 hour at 7430. However, I think that there is a strong chance of further weakness and any bounce will be short lived. My preference over the next few sessions is for a drop down to 7300 and possibly lower. The daily chart is still bearish with the 7465 resistance area still in tact as the bulls were not able to make yesterday rise stick.
If the 7429 area breaks today, and it is bear Tuesday after all, then we could have a fairly weak close to the month. I mentioned yesterday that my stance was short the rallies and that is still the case for the time being.
The bottom of the Bianca channels are both at the 7380 level so we may well see a bounce here too, though again, it is likely to be short lived.
