JOIN OUR MAILING LIST
Assessments / Blog
ES #F New high and sharp reversal
As warned on the 8th the market can react sharply on news which proofed to be true on the 9th. On the 9th we warned that a bar close above 2438.50 can spark bullishness, which became true and another new all-time high was made at 2443.50. The very next moment (bar) the market reversed sharply and traded to a low of 2412.50, a reversal of 31 points in less than 4 hours and closed at 2428.75 (16.25 points higher again). Markets closed on a mixed note on Friday as a sector rotation trade pitted the top-weighted technology sector which took a heavy blow. On the technical side at the moment we have Selling pressure, Downward Volume Flow, Price action break down, a little bit of Weakness and Declining Up Wave Cumulative Volume with Divergence on the Volume Simplified Oscillator. A bar close below 2417 can lead to testing of the 2397 and 2387 levels. The aggressive buying (Positive Delta volume) on the Smart money down bar at the last swing low suggests hidden buying in this down move which support the view of a potential Spring to the upside in the making. A bar close above 2439.50 can lead to new highs and 2459. Some more volatility is possible.
The information delivered here is for educational purposes only and is not intended to be a recommendation to purchase or sell any of the stocks, futures or other securities referenced. All references are for illustrative purposes only and are not considered endorsed or recommended for purchase or sale by MC Trading.
Trading Forex, Stocks and Options, Futures and any Commodity or ETF contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones financial security or life style. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results and no representation is being made that any account will or is likely to achieve profits or losses similar to those shown. MCTrading has taken reasonable measures to ensure the accuracy of the information contained herein and on this website, however MCTrading does not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or from an inability to access such information or any delay in or failure of the transmission or receipt of any instruction or notification in connection therewith.
|Back||Back to top|