Monday, April 18, 2011

Pre market analysis 4-18-11 Monday


News: Today is housing market index @ 10AM
Trade plan: Last week ES balanced in a range. On Thursday we traded up pretty quickly and Friday followed through to the top of the balance area trying to break out. Now in globex we traded  back down into the range. We are trading at in an area where we can see more balance and a possible break this week. We have a lot of company's reporting earning this week so the market could get jumpy depending on the numbers. We only have the housing market index release at 10 AM and not too much else going on this week in the way of economic news. The focus this week will be on earnings. My plan is to play the extremes of this recent balance area as a responsive buyer/seller. I will also look for levels to play off of that correspond with the direction of the trend and the balance area. The market is set to open below value on Friday and we could see some responsive buyers active to bring the market back into value. Over all i will wait to see how the market sets up before taking any positions.


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