Market Finds Support and Bounces Back

If you tried to get long in the low 1060s on the ES in the last hour of trading yesterday, it was a difficult thing to do. The market was very weak and very choppy while making the low. You needed patience and discipline to hold onto that long position. I took a long at 1063 but eventually sold it. I was hoping for a better bounce before the close of trading, but it didn't happen. We had some algorithmic HFT action making it very difficult to hold the long. You would have to watch your P/L give up profit after profit by continuing to hold as the market ticked up then ticked back down and did this over and over. We even ticked back down in the overnight session before finally beginning the real move back up around 1:30am EST. Market is bullish and it is still looking like we should hit at least 1110 on the ES which coincides with the top of the Keltner Channel on a daily chart. However, the next resistance will be at 1099, lets see if we approach that before the end of trading today... I am looking for an opportunity to get long in the 1080 to 1085 range, if we pull back there.

I like the fact that we gapped up today and the market looks poised to move higher. That will leave this gap to be filled at a later date which would be in support of my thought to short the market at a later point...