On Monday the markets rallied well above last Friday's highs and have more or less consolidated for the last two trading days closing today at new highs, a bullish price pattern. There is significant resistance just above the current highs between 1173 and 1175 on the ES and it looks like we may test those levels tomorrow. We'll see if the markets gap up above that resistance for tomorrow's open or if we will test it during regular trading hours. It should prove to be difficult trading in the 1170 to 1183 range as there are many points of resistance, any of which could be tested.
I will be looking for opportunities to short this market throughout that range.
If the markets close above 1185 on the ES, that will put a temporary end to the bearish sentiment and add some fuel to the bulls confidence to retest previous market highs. The first thing to watch however, is if resistance can hold up in the 1170s...
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment