Disappointing Thursday so far for KC. Lower, like most of the board, following 2 days of settlement above 1.05. WE did see the market find some support at the daily 8 exponential moving average (10345). Current low, 10335. The re-balance is still in force and it is giving the market the feel (at time) of a market in the midst of a roll.
As mentioned, the daily 8ema is key support. Holding for now. Beyond that level I look to the following :
10280 (1.618% of yesterdays TR), 10235, 10165.
On the upside, we have corrective levels using the current range:
As Tango has pointed out, we have the longs within the market that add to the upside resistance as they compete to liquidate.
Spreads remain weak, as they were yesterday. February options will expire tomorrow and perhaps we are looking at possible pin strike ?