ES is still within this balance area and so we are still due a very big directional move soon. Today we will use 25-27 as our bull bear zone, Above here we are most likely to break to new highs given the bullish context and likelihood of a directional move. 30.75-32.75 is the balance high and as soon as this goes we have no hard resistance.
Below 25 ES can test 19-21 and 14-16. The 14-16 zone can act as support in a failed breakout of the balance, so with a perfect setup could lead to good risk to reward on the long side. However on weak internals and the liklihood of the directional move ES could easily test 04.5-06.50.
If ES opens below 22.75 then we must be aggressive at resistance and look for a downside breakout. An open above 25 can see us go to new highs.
Happy Trading.
No comments:
Post a Comment