$ES1!: Tonight the bear come out play?
Maybe it the full moon that got the bear in me all excited. In this correction, I had somewhat stopped modelling the fundamentals as something is broken; perhaps it is all the money printing. Nevertheless, let's focus on the price action and today's exhibit is the S&P500 e-mini.
Couple of interesting points to consider if this is the start of the next leg down:-
#1 the $ES1 is testing a huge resistance turned support and now resistance zone. In fact, the $ES1 spent much of 2019 testing these levels,
#2 Price volume support and resistance as measured by the SSR levels have turned from support to overhead resistance,
#3 the $ES1 is at the 61.8% retracement level measuring from the Feb peak, 78.6% retracement level if measuring from the Mar peak,
#4 the $ES1 broke an immediate trend line, tested it and tbh, the jury is still out if the test fails or the index breaks higher,
#5 the stochastics are overbought in all fractals and the trend is weak.
Maybe I am seeing what I want to see, there is a higher low and correspondingly higher price objective at c.3000 level...maybe it is really the moon but I say watch out below as gravity beckons.
Couple of interesting points to consider if this is the start of the next leg down:-
#1 the $ES1 is testing a huge resistance turned support and now resistance zone. In fact, the $ES1 spent much of 2019 testing these levels,
#2 Price volume support and resistance as measured by the SSR levels have turned from support to overhead resistance,
#3 the $ES1 is at the 61.8% retracement level measuring from the Feb peak, 78.6% retracement level if measuring from the Mar peak,
#4 the $ES1 broke an immediate trend line, tested it and tbh, the jury is still out if the test fails or the index breaks higher,
#5 the stochastics are overbought in all fractals and the trend is weak.
Maybe I am seeing what I want to see, there is a higher low and correspondingly higher price objective at c.3000 level...maybe it is really the moon but I say watch out below as gravity beckons.