End of day review 4-8-11 Friday

ES opened above value this morning and as expected responsive sellers were active at the top of the range. The expectation was for ES to trade back into the range and test the vpoc at 1329 from yesterday and the cvpoc at 1327.50. Es traded down and tested both VPOCs. There were a few opps to join the move (see trades chart). ES bounced off of the 1327-1329 level and traded up to VWAP at 1330.75 and traded lower back to retest the 1327.50 mcvpoc area. We consolidated for a while and eventually broke down on our way to test the 1325.00 and 1322.00 vpoc areas on the composite. We continued lower testing the 1319.50 level and the low volume area of the gap from a few weeks ago. ES bounced back up trading into the 1325 hvn and 38% retrace level. Over all we stayed in the range from the past week and a half and didnt really make any progress. There are signs of sellers getting active up here so we may see a break out soon, maybe even next week. As of me i was sick most of the week and felt i could have done better but not thinking to hard into it because of being sick. 

Pre market analysis 4-8-11 Friday

News: No notable news releases today.

Trade plan: Today is the first day i feel good after being sick most of the week. I only traded 2 days, both days were marginally up days. Yesterday was volatile in the AM due to the Japan earthquake they had. Lucky for them it didn't cause any more damage. ES traded down to the 1320.75-1322.75 area and found buyers and traded back up into value of the recent little balance area at 1327. The rest of the day just saw ES balance in the days range set from the morning building out value at 1329.25. Globex has been trading higher throughout the night building value up at 1334.00 showing that the buyers are still in control. I have premarket resistance at 1333.50-1335.50 where buyers could push ES through it for a test and gap fill of the yearly highs. Because of the bullish context and globex i will be cautious fading that level. I would need to see signs of the market not wanting to trade through it in order for me to want shorts up there, like a range type trade with a tick divergence for example. Above that is the yearly highs where i expect responsive sellers to be active on first touch but i will be cautious of fading the yearly highs as it is well expected for alot of people to be selling that area and we could get a stop run above that. I would be more comfortable selling the next level above. For the down side i have premarket support at 1327-1329 area where we could see responsive buyers active. A break below that will bring the lower end of the range into play and the 1320.75-1322.75 level where i expect responsive buyers to be active as well. Over all with the buyers in control.