ES Weekly Levels (Jan2-5)The week rally continued into the holiday week. NQ and ES both finished the week green dispite a mild sell off on Thur & Fri back to their respective 9 EMAs. NQ started the new year above the Jan 12th high 4% off the ATH. ESstarted the new year at the 1.13 Fib X & above the July 27th high just 4.2% off the ATH. Market is overbought but the ATH remains a strong magnet for price.
SUMMARY
ES finished the 9th week with a gain of 0.28% after trading in a range of 44 pts.
ES held the July 27th high and 9 ema.
Price currently overbought and may need to test the 21 ema / July 27th high before bullish continuation
1st resistance = Mar 29th high (4861)
1st support = 9 ema (4802)
A move above the Mar 29th high makes a move to 4900 likely
A move below the 9 ema makes a move to the 21 ema likely
Broad market support required to achieve ATH.
Santa rally usually extends into the first few days of the NY.
Sector rotation showed defensive shift last week with XLV, XLU & XLP outperforming
FOMC minutes due out Wed and NFP due out Friday.
RSI 69 | VIX at 12.44 | 10 year 3.87%