News: Beige book @ 2PM
Trade plan and Price action analysis: (Price action) ES has been in a down trend the last few weeks. Each session has been placing value lower down and the vpoc has been shifting lower as well. Yesterday's session traded most of its value in the upper part of the previous days session showing that the market wants to trade higher. Late afternoon the market broke down below that value and closed at the previous day's lows and closed below the day's value at the lows leaving us with a P shape profile. This type of profile is still considered a short covering day but the market sold off to find where the buyers where sitting at. Globe has still traded lower placing all its value below the previous days value. This gives us a bearish macro structure and means we may trade lower. I believe we are due for a bounce and that's just my gut feeling. I will not base any trade decisions off of that. I will trade what i see as it develops. We are set to open below value and that could bring in responsive buyers.
(Trade plan) With the bearish macro structure in place this morning i will be looking for a test of the areas below. I expect responsive buyers to be active at support areas but will be cautious on longs. I also expect sellers to be act at resistance levels above. We have beige book out at 2PM so we could just have some movement in the AM and balance up to the release. Also we have a neutral weekly IB and im expecting areas to hold.
No comments:
Post a Comment