channel resistance Tag

Not finding anything particularly easy to read at the moment, so treat the following post as me thinking aloud! The 2 Indices I trade most are DOW and FTSE, so I'll start with my thoughts on those. First of all to make clear, I have no idea where they are going, struggling a bit to be honest, so the following is based on my system.

I have a bit of a Dilemma. Entered a DOW long today at 12,870 which is currently showing +105 pts. Based on today's price action and the fact we are entering December you have to consider that the base is now in for the Santa rally. At the same time however, we have this stat I posted on the ADVFN forum last night which suggests switching short tonight: