Thursday, June 30, 2011

ES Trendline Test

Today the ES and the SPO tested downtrend line from the 1368 highs and so far its being respected. Theres a couple things that I want to point out here 1. downtrendline 2. how well it was respected/the back and fill type action I seeing after it traded and now during the globex overnight session. 3. I have been watching the volume closly on the push higher and today looked concerning imo. Im thinking the ones that were buying today have caught the short end of the stick and missed the move and they could be feeling some pain the following session. Im saying this because yesterday the es traded 2.5 million minis which is good and today we advanced higher on less volume alot less, and actually todays volume was less than the 9 previous up sessions we have had and prices are making new highs...Thats a red flag to me. Overall I'm acticipating a consolidation here at these levels i.e. (balance) and eventually a push lower here soon i.e. thats why I posted that es short entery trade setup and I beielive it has a great risk/reward here. Looking for longs up here is dangerous so protect yourself if you think we are oversold or a pullback is in place and USE STOPS! Good Trader Kratrader

No comments:

Post a Comment