The last six Value Areas were generated entirely above the 4447 Support. ES is in a strong position. Mechanically, a RTH close below 4509.75, dashed line, Monday’s Buying Day low, would be the first indication of weakness.

Last five Value Areas were generated entirely above the 4447 Support. ES in strong position. Mechanically, a RTH close below 4509.75 (dashed line), Monday’s Buying Day low, would be the first indication of weakness.

Last four Value Areas were generated entirely above the 4447 Support. ES in strong position. Mechanically, a RTH close below 4456 (dashed line on chart), Thursday’s Buying Day low, would be the first indication of weakness.

Wednesday and Thursday repeated the rare pattern that we saw as recently as last week, i.e. a Significant Selling Day followed immediately by a Significant Buying Day. See previous comments on chart (highlighted). Last three occasions, the market rallied. First Level Support at 4447.0 has held.

Support (dashed line on chart) at 4447.0, the 1/2R off this year’s high, was not convincingly broken, so yesterday’s Selling (red) has been ineffective so far.

Support at 4447.0 (1/2R off this year’s high), dashed line on chart. Bulls would want that to hold. Mechanically, a RTH close below 4379, the low of the 03/18 Buying Day, would be the first indication of weakness.

and testing next Resistance level Last two Value Areas were generated entirely above the Control at 4353, that’s usually a positive (needs to hold now). Currently ES is also printing above the natural Resistance at 4447.0 (1/2R off this year’s high). Consolidation above that level would be the next positive.

ES rallied strongly last week. Effective, Aggressive Buying (green) was marked three times. The major Control migrated to 4353. That is now Support.

03/03 Rejected tested of the 4396 Control. Decline. 03/15 Rejected test of the 4140 VAL. Rally. 03/16 Rally capped at 4353 Resistance, see yesterday’s note. 03/17 Overnight enough has been spent at 4353 to migrate the Control to that level. See previous note. This is now the level to monitor. Time above the Control would […]

Overnight on Tuesday there was a brief, rejected test of the major Value Area Low at 4140 (dashed line). That’s encouraging and ES has rallied strongly from there. The Control of the same major distribution is at 4396 and I want to see price above that level before considering new longs. However 4353 is the […]