Hello Everyone,
Last week, I commented on the two way action (consolidation) as price waited for the 9 day EMA to approach. This action formed a bull flag which launched the recent move over the past 3 days (from contraction comes expansion). Tomorrow, we have the FOMC and the consensus is for a pause and for JP to keep open the window for another rate increase if data supports - we shall see tomorrow. At this stage, continue to trail up stops with RSI 14 on daily now above 70. Keep some hedges handy if needed if you see evidence of a quick pullback unfolding - note liquidity remain constructive should be get a pullback. I will add some ideas but remain prudent.
Thursday Comments:
Range trade on the SPX/ES has unfolded as per Tuesday's comments. Price is coiling as a result with the SPX 9 day EMA now closer. Bulls remain in full control and think the run the equal highs above (either direct of after a dip).
We have had some terrific trade ideas again this week so hopefully you were able to catch a few and thanks to all for sharing some other setups. Much appreciated.
ES Support 4405 4380 with resistance above 4420-4430 4455 to monitor overnight. Will refine again and update in trading community.
Please take a moment to look at the trade ideas.
