The rejection at the 4015 Resistance on Thursday developed into a sharp sell-off with ES (March) approaching 3800 at the start of today’s RTH. The 12-month VAL comes in just below 3800 so a bounce here would be a reasonable expectation.
If that happens I would be interested to see if the 1/2R level off October low could be recovered and held, these being 3869 (ES Mar), 3905 (ES Jun), 383.2 (SPY).
In any event, bias looks lower and new longs are still eliminated for me. Significant Buying (green) marked above those 1/2R levels would be a positive.
