Sell in May and go away? Only a few days left to participate in that. Price in "value" of the 2018 range thus far. Impossible to know which extreme end we head to. Swing low possibly made overnight, next 12 hours will confirm. Today's cash open might be one to take a pass on from trading.
Happy Humpday. FOMC Minutes today. Sometimes a market mover, sometimes a dud. Holding Zone will dictate today's action. 2724 will be the Bull's target for today. Bears looking at 2694. Late comers always feel some pain so make sure to show up to the party early, but not too early.
Make ES boring again. Uneventful trading of late. 40 point range over the last 6+ trading days. 2750 is very attainable for the Bulls. They've been eyeing it for awhile now. Potential swing high there if things match up. Area also corresponds to a stop zone area so something to keep an eye on.
Last week we saw an inside bar pattern form on the ES. There was a false break out of this inside pattern. Price pulled back in and continued to consolidate. Going into the Monday morning trading session it looks like we will have a gap up and may finally see that upside breakout to start the next leg up.
TGIM. Most boring overnight session of all time. You'd think it was a holiday...but it's not so look for some fireworks today (hopefully). Overnight gap sparked a short swing entry but the clock is ticking on that as there's been no momentum lower. Cash open should solve this sideways garbage.
Price continues to consolidate on the daily chart so I take a look at any price action in the hourly charts. I see a potentially bullish hammer setup on the hourly chart off of a key price level. If the candle closes as a hammer and breaks above we may see that next strong bullish move up.
An inside bar has formed on a number of charts including the /ES, /YM, XLF -0.42% and others. These are all following a strong trend which signals that the market is taking a short breather. Generally in periods of price consolidation after a long move we want to look for opportunities to get in the market on the next up move. In these cases we would be looking to...
Head & Shoulders present for the T.A. 101 peeps. 2590-2740 wave suggests lower reversion. Today's 2725 Bear Zone could be the $ Zone. If that level hold then Bears will gain momentum and Bulls will have no chance for the day. Holding Zone is a dangerous bet but danger is what pays in this game.
Return of the Bear yesterday. Bulls were unable to get above key Holding Zone. Sets up Wednesday for a likely volatile session. Risk is to the downside. 2590-2740 wave calls for lower reversion. Beware of stop zone below 2700 which creates the 2696 Bull Zone. Opportunity for intraday bounce there. Much room to go below there.
TGIM. Super quiet overnight session. Not certain a high is made yet on this up move. Previous swing high potential area was unsuccessful. Late longs should be cautious and not greedy. The higher we creep, the more risk grows to the downside so keep that in mind. Bulls are in control for today as long as they hold 2728. 2750 is the new promised land and magnet.