So our good friend and trusted companion on our trading journey, ES1!, had a very eventful ending to last week. LARGE move to the downside. It would not be surprising to see a whole bunch of sideways action. There are some economic numbers coming out on Tuesday that may or may not have an impact on price action.
In the near term, IF ES does catch some upward momentum, there might be some pretty touch resistance around the 4040/4042 area. If it gets there, which happens to be close to Friday's low, I expect it would range out for a bit. Above that would be Key Resistance 4055. Would be interesting to see it retrace all the way to the 38% Fib...
IF ES breaks below 4000 with good volume, 3980/3970 would be the first target with 3958/3949.5 being the next. Below 3949.50 there is nothing before the 23.6% Fib level, but I expect there will be good resistance there. If downside continues I expect ES could get there by the end of the week.
In the near term, IF ES does catch some upward momentum, there might be some pretty touch resistance around the 4040/4042 area. If it gets there, which happens to be close to Friday's low, I expect it would range out for a bit. Above that would be Key Resistance 4055. Would be interesting to see it retrace all the way to the 38% Fib...
IF ES breaks below 4000 with good volume, 3980/3970 would be the first target with 3958/3949.5 being the next. Below 3949.50 there is nothing before the 23.6% Fib level, but I expect there will be good resistance there. If downside continues I expect ES could get there by the end of the week.