1290 on the E-Mini S&P Futures

Friday saw continued bullish momentum to the upside as the E-mini S&P 500 Futures closed the week right on my 1290 key price point. This is a level that would have been ripe for a short play on Thursday or Friday of last week, but based on timing and price action, it is certainly no slam dunk play heading into this week. The S&P is right at the upper resistance of the current up-trend channel that dates back to the start of December of last year. Assuming that resistance holds, a move to the bottom of that channel would bring us down to 1270 or so on the ES which also happens to be gap fill from back on 1/11. The bullish price action we have seen since September of last year is historically unprecedented. It has been a constant grind upwards with almost no significant corrections along the way. So you could argue that we are overbought and ready for a move to the downside, or you could believe the momentum to the upside will carry on. What I am looking at heading into Tuesday's trading (Monday is a holiday), is to get short between 1290 and 1295 ES. As usual, it is not worth defending any shorts in this market, but I think there is a good odds opportunity to see a move back down to 1270 early this week. I will most likely be a buyer in the 1265-1270 area. That's it for now... as usual, I'll post any trades if I do go short...