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Assessments / Blog 2017-12-05 ES #F Wild swings possible Yesterday Buying pressure developed to take price to a new all-time high at 2665.25. This happened on an upswing with negative Delta volume and various Pullback/Reversal warning signs. The volume on this upswing was much lower than the previous upswing volume and the previous downswing volume. The last bar on the upswing was a Doji-bar and when the swing reversed, with Selling pressure after the buying pressure was short lived, with Comparative weakness and MTF down alignment, the odds for a down movement was high. This all happened with increasing Volatility. The Pullback exceeded our support level of 2539.50 given Yesterday. A lucrative move down was the result. At the moment Volatility is still relatively high near the 12-point level and we are still in Selling pressure territory. Should Volatility decrease and Buying pressure develop a swing to the upside should occur. A bar close below 2613.25 with sustained Selling pressure, will be a serious threat to the near term uptrend. The last four up and down swings have increased in size and decreased in time and can catch one off-guard, so be cautious for this kind of price behaviour (sudden swings that are short lived). See results of our Strategy on the MTF Tool trading the EURO RISK DISCLOSURE: 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. |