posted 05.38a.m. EST
from pre-open analysis Tuesday 17th March
>>Until effective selling is seen I am making the following assumptions:
Buyers are in control on this timeframe.
If time is spent printing in the area of 752 then we may well see value building and sideways price action for a while.
More bullish would be if 752 again provides support (see also hourly channel support) or, if a probe below 752 is quickly rejected.<<
pre-open analysis Wednesday 18th March
Tuesday did see an early probe below 752 which was quickly rejected as buyers responded. There has now been 4 instances of significant buying in the last six days and 1 of selling. Buyers are in control and ES has not yet auctioned high enough to find a significant response from the sellers.
Although buyers were very active yesterday, the value area was overlapping/lower and there was less volume. This may indicate that buyers effectiveness is slowing.
Stats suggest that Tuesday’s high will be exceeded today. 803 is 1/2 of the Jan high – Mar low range and we may well see that natural resistance level tested before sellers reappear.
