Trading Plan for Tuesday, April 9th, 2024
Trading Plan for Tuesday, April 9th, 2024
Market Sentiment: Consolidating within a tight range. Expect a breakout or breakdown with the potential for increased volatility.
Key Supports
Immediate Supports: 5246, 5232-35 (major), 5221, 5212, 5207 (major).
Major Supports: 5196-98 (major), 5181, 5172 (major), 5155 (major), and many more.
Key Resistances
Near-term Resistance: 5256, 5262 (major), 5274, 5285 (major), 5294, 5302 (major).
Major Resistances: 5308 (major), 5327-30 (major), 5348 (major), 5379 (major), and others.
Trading Strategy
Rangebound Consolidation: ES is forming a tight base between 5235-5263. Exercise patience and prioritize either tactical adds on support tests/failed breakdowns OR hold a runner position with the trend.
Long Opportunities: Look for bids at 5246 and 5232-35 (prioritize the latter). Consider dips below 5232 to 5207 or 5196-98, especially if followed by reclaims. Stick to level-to-level profit-taking.
Short Opportunities: While avoiding counter-trend shorts is generally advised, those inclined may consider potential shorts at 5285 (red downtrend resistance) or 5302-08 for dips.
Bull Case
Holding Support: Bulls maintain control as long as the 5232-35 zone holds. If it does, consolidation continues, likely forming a bullish triangle for another push toward 5274, 5285, and potentially 5302-08.
Adding on Strength: If ES bases above 5246 (with dips below recovered) while staying under 5263, consider potential adds.
Bear Case
Breakdown Signals: A failure of 5232 triggers the bear case. Remember, most breakdowns are traps, so look for a retest and failed breakdown of 5232 first, then consider shorts with level-to-level targets.
News: Top Stories for April 9th, 2024
Economic Indicators
CPI and PPI data in focus for inflation insights.
Bond market signals potential for stable interest rates.
Corporate Earnings
Big banks to release quarterly reports.
Interest Rate Decisions
Bank of Canada and ECB announcements could impact FX and indices.
EU Joint Borrowing Plan
Success of the EU plan could inform future fiscal tools.
Corporate Events
Blackstone's potential buyout of L’Occitane.
Reminder: Expect a breakout from the current tight range, potentially with volatility. Focus on reacting to price action, prioritizing risk management.
Market Sentiment: Consolidating within a tight range. Expect a breakout or breakdown with the potential for increased volatility.
Key Supports
Immediate Supports: 5246, 5232-35 (major), 5221, 5212, 5207 (major).
Major Supports: 5196-98 (major), 5181, 5172 (major), 5155 (major), and many more.
Key Resistances
Near-term Resistance: 5256, 5262 (major), 5274, 5285 (major), 5294, 5302 (major).
Major Resistances: 5308 (major), 5327-30 (major), 5348 (major), 5379 (major), and others.
Trading Strategy
Rangebound Consolidation: ES is forming a tight base between 5235-5263. Exercise patience and prioritize either tactical adds on support tests/failed breakdowns OR hold a runner position with the trend.
Long Opportunities: Look for bids at 5246 and 5232-35 (prioritize the latter). Consider dips below 5232 to 5207 or 5196-98, especially if followed by reclaims. Stick to level-to-level profit-taking.
Short Opportunities: While avoiding counter-trend shorts is generally advised, those inclined may consider potential shorts at 5285 (red downtrend resistance) or 5302-08 for dips.
Bull Case
Holding Support: Bulls maintain control as long as the 5232-35 zone holds. If it does, consolidation continues, likely forming a bullish triangle for another push toward 5274, 5285, and potentially 5302-08.
Adding on Strength: If ES bases above 5246 (with dips below recovered) while staying under 5263, consider potential adds.
Bear Case
Breakdown Signals: A failure of 5232 triggers the bear case. Remember, most breakdowns are traps, so look for a retest and failed breakdown of 5232 first, then consider shorts with level-to-level targets.
News: Top Stories for April 9th, 2024
Economic Indicators
CPI and PPI data in focus for inflation insights.
Bond market signals potential for stable interest rates.
Corporate Earnings
Big banks to release quarterly reports.
Interest Rate Decisions
Bank of Canada and ECB announcements could impact FX and indices.
EU Joint Borrowing Plan
Success of the EU plan could inform future fiscal tools.
Corporate Events
Blackstone's potential buyout of L’Occitane.
Reminder: Expect a breakout from the current tight range, potentially with volatility. Focus on reacting to price action, prioritizing risk management.
