Key Level Being Tested

1191-1192 is a key support Level on the ES. It is fine to test this level intra-day, the key is that the Emini S&P Futures (ES) does not close the day below this level. If ES closes below 1191, that will influence my bias to the bearish side.

Worldwide Markets Sell Overnight

On lower than expected GDP growth in Germany and France coupled with fears in the Chinese market that the Chinese Central Bank would raise interest rates again, markets sold off. European markets, however, have recovered from early loses.

S&P 500 futures have traded an average daily range in just the overnight session selling off significantly in concert with world markets. The ES traded down through 1200 and as low as 1193, but has also recovered and is currently down only 0.6%.

Market continues to look weak. I still like shorting the up-ticks and expect price on the ES to trade below 1200 again in today's session.

Levels to watch today (ES) are:

Resistance above at: 1206.50-1207.50, 1212.50-1213.50, 1216-1217
Support below at: 1201-1202, 1198-1199, 1196-1196, 1192-1193

I like long positions in the low to mid 1190s