Watch these levels for short entries
Tuesday’s session was somewhat choppy
in the morning and afternoon, with straight drop at 1:00pm EST attributed to
(
XOM |
Quote |
Chart |
News |
PowerRating)
block sales and/or Fedspeak about neutral stance near 5.5% interest rate.
Whatever the cause happened to be, price action ended up closing near session
(and recent) lows once again. With yet another hurricane spinning itself into
category five strength, there is no end of catalysts keeping stock markets spun
to a froth with reasons for further selling to come.
This Session
ES (+$50 per index point)
Recent lift from previous lows to current highs
retraced right back to 62% of the range on Tuesday’s close. The open today
appears ready to gap-down open well below this pivotal mark. Expect 1181 to be
tested today and if so, it probably acts as the session high with further
downside potential ahead.
ER (+$100 per index point)
624.50 is the next key level to trade around on
today’s menu. Pre-market futures have the index poised to open right near that
value, so we’ll see what happens next. Long above and short below is the overall
bias for 624.50 level today.
Summation
The overall trend is down. Recent lift off last week’s lows did not
even hit initial levels of overhead resistance before selling off again
yesterday. Today’s open appears to be weak. Early lifts to resistance levels
should be high-odds shorts. An early drop of any magnitude would skew that
picture, leading to long trades back toward daily pivot magnets and/or afternoon
short trade signals on a failed pop.
In any event our method signals will keep us on
the correct side of any true market move, our only task is to identify & take
those trades accordingly. I never try to predict = project every intraday
scenario: trusting the method signals and taking each one until sufficient
profits amass or maximum intraday loss is reached would be what we must focus on
each day.
Trend is down, charts are weak and short side
has the bias. Long trades may work into extended depths following strong sell
programs, but each lift to resistance is a high-odds short setup until that
fails to work.
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.