Sunday, January 4, 2015

Monday January 5th ES Levels and trade plan.

Here are the levels for today.

We will be using 46.50-48.50 as todays bull bear zone. If sellers can keep ES below this i would expect us to test 32.50-34.50 which is the downside objective from the move on friday. I would expect to see some buyers here on first test. After this we have 19.50-21.50 and then 08.75-10.75 which i could see capping the downside if ES decides to transition down to here.

On the up side we have 59-61, we would need a good setup here to short if ES was to hold above the b/b zone. Then we have 65.75-67.75 which could be a good place for sellers to step in, if this gives in id expect ES to cap sellers on the day time frame at 72.5-74.50.

Happy trading.


  1. Where do you place your stops when you enter at the front of a zone? Do you have any specific scale/trail/money management techniques that you employ with these zones?

  2. As a basic rule, if you were to use hard stops id say 2/3 ticks behind the zone would suffice. In terms of scaling in, i usually scale in at the front of the zone and then add in if it looks right in real time. My first target is usually around 3 points, theni target back to value or another significant level that i identify.

  3. So from your response, I can assume you don't use hard stops?

  4. I have a price in my mind where i want to be out by, but i dont set a hard stop no.

  5. Thanks for responding, I hope to hear more about your process via the blog or twitter some day. Keep up the great work! Eyeing that 2010.75 for a long