These charts map out your entries for today

Monday’s gap up open stretched upward a
bit just enough to lure in unwary buyers, then failed just below key resistance
Ensuing drops to recent support levels ended with a push back toward
session highs by the closing bells’ toll. Overall, Monday was a V-shaped session
that didn’t resolve anything at all… just a day of “rest” offering prime
opportunities for intraday traders.

ES (+$50 per index point)

S&P 500 gave early sell signals 1193 that
eventually drifted to 1188. That took hours to materialize, as price action
merely coiled sideways until inside the noon hour where sell programs took
indexes down to session lows.

A higher-low pullback in late afternoon worked
upward for a few paltry points into the closing bell. Small range, rather muted
but orderly session in the ES.

ER (+$100 per index point) two>

Russell 2000 had sell signals near ER 636.50
that worked down to 630.50 at the daily pivot point. A reflexive bounce from
there posted a lower-high failure near 634, with second sell signal at 632 and
then confirmed at 631 rolling down to 627.80 lows before flexing upward from

A late-day buy signal in the 631+ area chopped
around enough to hit stop loss orders (depending on actual fills) before the
expected pop to 637+ finished that session. Another very active tape filled with
plenty of solid profit potential. Orderly, structured and predictable at every
turning point along the way.

This Session:

In the charts above we see where price action held retracement levels’ support
from Friday lows to Monday highs anchor points. Sellers stepped in at rather
obvious locations on the chart, but learned that markets cannot and will not go
straight down into an abyss from here. We will see much more two-way price
action now that initial panic has passed and key levels of support were hit &
held on the big trend charts last week.

That does not mean a near-term bottom is in or
further selling is a sure thing at higher levels above. I don’t let myself form
any directional bias when short-term trading the minis… that is a very fast
path to broke. Trust the trade signals long or short in your overall method –
approach. Many of the very best trades will certainly unfold in the direction
you least expect them to.


Option expiry week often has some unusual short-term price movement
and sideways “pin” attempts on the indexes. Thursday is the cessation of trading
for european-style index option contracts, which is essentially all of the big
ones. Sudden or extreme moves to clustered support / resistance zones are
probable to stall & reverse, so let’s remain objective and refuse to marry any
mental bias, up or down.

Trade To Win

Austin P

(free pivot point calculator, much more inside)

Austin Passamonte is a full-time
professional trader who specializes in E-mini stock index futures, equity
options and commodity markets.

Mr. Passamonte’s trading approach uses proprietary chart patterns found on an
intraday basis. Austin trades privately in the Finger Lakes region of New York.