ES - September 2nd - Daily Trade Plan

Sep 1

September 1st - 5:55pm EST - Overnight Session & Daily Trade Plan

We have a short week with volume picking up moving forward into a seasonally down period. I said on the weekly plan that "Due to low volume on Monday, I do not expect us to get much higher than 6496 in the Monday session, with some headline taking us down Tuesday to 6431 area".

Last night's session our high was 6491.50 and we retested Friday's low around 6459.50. I have put in white a potential bear flag that could continue higher to the 6496.50 level. IF, price does not clear 6505 and hold, we will need to retest the levels below and that could be 6472, 6453 for us to flush and reclaim. Below 6459 and we will need to most likely get out the way and let price flush a few levels, reclaim and back test the 6455-59 zone.

Support levels in yellow that we could flush and reclaim to push higher are as follows:
6455-59, 6450, 6437-40, 6430, 6419, 6411. I believe that 6430 (Last week's low) will give us a good reaction and then 6411 which is the area we broke out from Friday August 22nd. I expect us to have a choppy overnight session with tomorrow's NYSE open giving us direction and hopefully breaking out of this choppy range between 6455- 6496.

I am still bullish above 6390, but a break below this level would be a warning to the current trend.

I will provide an update tomorrow am around 8:30am EST. Check out my Weekly Trade plan in the related publication section to the right.

Sep 2

Note

6:10am EST - Update - I stated last night that below 6459 and we will need to most likely get out the way and let price flush a few levels. We flushed 6459 but could not reclaim and only back tested then dropped down to 6428. I said last night "6430 would give us a good reaction" which is what we have been working on back up the levels with a move to 6445. Price could keep grinding higher, but I think when NYSE opens, we could sell off and test the 6411 area, which would be a great short squeeze level to work with. I will send another update around 10am.

Sep 2

Note

10:20am- EST Update
Price flushed the 6385-87 level and rallied up to the 6422 resistance. Price is battling the 6411 zone. IF, price can reclaim 6411, we should get another attempt higher to back test the 6425,6430 levels. IF, price can't hold the 6396 level, we will probably retest the 6384 low of the day.

Sep 2

Note

11:20am EST - Update
IF, price can't hold 6383, look for a flush to 6372, 6358 and a reclaim of those levels above. We could get a sharp short squeeze IF, we flush the 6383 level.

Sep 2

Note

12:48pm EST - Update
I took 6377 to 6387 for a 10pt move. I think price should continue to build a base a resume upwards as long as we can hold the 6376 level. The reclaim of 6384 is a very good sign that we are going to continue higher, but President Trump is speaking at 2pm, so I wanted to close out my position due to possible whipsaw in price. The reclaim of 6431 would be bullish and would keep us moving higher. IF, price can't reclaim that level, we will need to see how price is acting to determine levels we would want to engage. I will send out a trade plan this evening after the session open.