News: GDP @ 8:30AM, Consumer sentiment @ 9:55AM
Daily chart notes: ES has been posting some solid gains. And the expectation is for ES to trade higher if we can get above the down trend line around the highs of globex.
30 Min chart notes: The 30 min shows buyers are in control and we are trending higher.
MP notes: MP shows we are shifting value higher and higher. We have a bullish macro structure and the expectation is for support to hold.
Trade plan: ES has been in an uptrend for the most recent price action. Value has been shifting higher while we continue to build acceptance at higher prices. We had GDP out at 8:30 and there was no real reaction to the release. We have consumer sentiment out at 9:55 AM so we could see a balanced session leading up to the release. Over all buyers are in control but we are coming into some strong resistance areas where i expect responsive sellers on the higher timeframes to be active. We broke above the 1306-1308 resistance area in globex and traded between the 2 levels all night building acceptance at 1308.75. With the market being extended up so far the risk is on the long side of the market unless i look at PBs into good support. We have globex lows area with yesterdays vpoc there as well. If we break below that im expecting buyers to be active at each of the support levels below. Unless we get a heavy response to the down side from the consumer sentiment number i will be a buyer at the levels. If we start selling of quickly i will look for quick retrace trades to join the move but will be cautious for a snap back move. For the upside we have strong resistance above and i expect sellers to be active there but i will be very cautious because this would be a counter trend trade and everything must line up perfectly before taking the trade. Over all i will wait for the market to show its hand at the open to have a better idea of what to expect.
