posted 6.05a.m. est
>>from pre-open comment Tuesday 12th May
If 914 becomes support at some point (maybe today) we’ll most likely see a new high this week. I would not consider the long side if ES prints below that level and I’m not considering the short side until I mark Effective Sellers.
Until ES prints value above 914 there is a possibility that it will probe lower to attract Significant Buyers. <<
Pre-open Wednesday 13th May
Tuesday day session high was 913.5 so the comment yday re not considering long below 914 was very valid. I also mentioned the possibilty that ES would probe lower to attract Significant Buyers – which it did down to 894 where Buyers responded and quickly auctioned price back up. Tuesday’s Value Area was lower and wider on increased volume so bulls need to be cautious even though there was no Significant Selling marked.
After Tuesday’s price action the First Level S/R has shifted slightly to 911.5
That means the comments made on Tuesday change slighty to this…. If 911.5 becomes support at some point (maybe today) we’ll most likely see a new high this week. I would not consider the long side if ES prints below that level and I’m not considering the short side until I mark Effective Sellers.
Longframe:
IF we see a new high, 950 would certainly be a possibilty and that would test the January high. If that happens, sentiment indicators (which are already showing lots of new bulls) would hit extreme levels.
