Great Traders know what to do and when to do it…

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  And they do it!  Friday's price action came to me as no surprise as I watched the ES sell off for the first 30 minutes, hit mS at 10 am reversal time and rally.  I should have been all over this but for some reason I got distracted and never entered the play.  Dumb!  All I had to do is drill down to the 1 minute chart and find an early entry and I would have been in the play until the close.  If you trade with more than a 1 lot, you might have kept a runner on over the weekend.  I would not be surprised to see the ES hit the 1877 level early Monday morning during the European session, even though we are on Holiday Monday here in the US.  I won't be surprised to wake up Tuesday with a gap up in the SPY.  Friday's setup was so perfect with a retest of mS, at reversal time, at the R20ma, beautiful Void above, wow! 

ES Hourly 02132016
ES Hourly 02132016

Now for next week, the daily price action should bounce off the 1879 level and head lower if the downtrend is going to continue on the daily chart.  If price continues past the 1879 level to close above then our downtrend would be over for now and the threat of continued selling would be over for now.  A break and close above the 1942 level would end the downtrend on the daily chart... 

ES Daily 02132016
ES Daily 02132016

Now on the Weekly chart of the ES, price put in another nice bottoming tail bar that could spell the end to the downtrend on the daily chart, but I'm expecting another red bar next week and a retest of the 1804 level...

ES Weekly 02132016
ES Weekly 02132016


 

 

  

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