posted 9.20 a.m.
Pre-open Monday 7th December
ES rallied into the 273/182 time pivot (around 4th December) discussed in the webcast last week. This is a potential turning point in time.
Last week’s Value Area was overlapping/higher. The WkVAL (value area low) was 1096.5 which was tested and rejected p.m. on Friday – ES then rallying back to settle the week at the 1108 poc. This is First Level S/R going into this week.
Last week I marked three instances of Significant Selling and no Significant Buying but this is not yet Effective Selling. Significant Sellers were active and yet price consolidated higher. So this could be Buyers Resting, forcing a response from the Sellers.
The Daily BollingerBands are getting very squeezed here. This normally resolves in a fast trending move. Which way?
If this is Buyers in control but resting: then most likely the 1088.5 poc will provide support if it is tested this week and ES will be able to consolidate above the 1108 poc.
If there is an important shift in control to the Sellers occurring: then most likely ES will struggle to consolidate above the 1108 poc and 1088.5 will not provide support.
