ES1! - S&P 500 Too High Too Fast

From yesterdays session, they strangled the S&P too high too fast. This will probably lead in a nice short micro crash to the center line.

Do you see the daily chart?
Price is exactly at the center line, and a 50% warning line confluence. Price just follow the rules of the Andrews Medianlines: "If price breaks through any Medianline, it pulls back to it, before continuing it's path."

This would indicate that price, even on the daily chart, would decline further. And chances are, that the short term trade to the red center line contains a high chance to work out.

Details:
- price opened outside the orange pitchfork = price is reversing (south)
- a test/retest up to the L-MLH of the orange pitchfork is highly possible, even above the last high of 3973.75.
- the stochastic is in overbought territory, preying to relieve some steam

The Trade is cooking. Now there's nothing else to do than wait and observe.

Happy Friday everyone.

Comment:

"OMG! It's not working!"

Yeah, these are comments I'l get sometimes. So, what's the problem here? Is it the trade? Is it the trader? Or is it, by not really READING what I write?

In this case it's probably the latter one.
Hey Trader, read again: " a test/retest up to the L-MLH of the orange pitchfork is highly possible, even above the last high of 3973.75."

As my crazy younger Brother always says: Reading is an important skill...

But for a better understanding, here's a chart with my thoughts in pictures.

And always remember: Trading is
...simple, but not easy
...a profession that takes years to learn
...testing your ego and tries to drain your account
...hardens you if you don't give up

Comment:

Ignore the one on the right.
That's just a CL Short ;-)

Comment:

OK, I admit, this was a pain in the ... ;-)
I was short, but closed the position for B/E.

That's live trading and not every trade goes through without pain.

Nnnnnnext...

Trade closed: stop reached