Market Surges December 20, 2011

Market Surges December 20, 2011   

The Dow Industrials rebounded today as investors brushed aside negative news out of Europe as positive news for this day at least allowed investors to
buy with conviction today. The moved more than 300 points today allowing many individual stocks which were beaten down in previous days to have a real power
trend move up today.  The dow remained in a powerful trend throughout the US session as it held its short term moving averages and pullbacks were to key areas of support. On our intraday lesson we signaled a buying opportunity which resulted from a symmetric triangle early in day.  Once the Dow futures traded above a pivotal area we saw investors accumulate the futures contract.  The Dow since that time never looked back and ascended over a hundred points.  The key is to spot trends and pick areas or key locations on the chart where investors are most likely to place their buy orders.