Upside target for Dow Jones December look at 12,880 and then 13,015. FYI 13,016 is half way back of the roller coaster sell off which started October 5th at 13,599, and finally capitulated just 3 days and 330 points lower from today, down at 12,424..
I really like 50% retracements as trading targets.
Also, generally, holiday markets are risky to short. The only people trading are professionals, or in some cases, people who just think they are professionals. The pros are 99% bears, because sell offs generally pay off more quickly than rallies.. Markets go up the stair case, but down the elevator shaft.
Most professionals best most profitable trading days, in fact, have been on sharply lower days.
Its a fact.
So they have a predisposition to fade rallies, looking for rapid profits on corrections.
During holiday markets, the only players are generally professionals. They all get short, then , lacking any follow through, chase each other higher on thin volume rallies.
I’d stay away completely from these markets, quite honestly.
If you want to participate, heed this advice. Never sell a quiet market.
CER