US Market 2010-11-11
By News Robot| ES | NQ | |
| AH High | 1214.00 | 2176.25 |
| AH Mid | 1210.00 | 2164.25 |
| AH Low | 1206.00 | 2152.25 |
Trading Edges That Last
By News Robot
As Featured In
By News Robot| ES | NQ | |
| AH High | 1214.00 | 2176.25 |
| AH Mid | 1210.00 | 2164.25 |
| AH Low | 1206.00 | 2152.25 |
The shock caused by Cisco last night has put a huge spin to the price formations.
ES AH is expanding its low and at this moment it printed 1205.25, a bit lower than the one posted by News Bot.
NQ is trading at AH low.
NQ will likely open below previous day low while ES will open within.
It is important to watch NQ for clues if the attempt to fill the gap above would fail.
Went short at 1205.5 did not break S1 and got out at 1206.5.
Lost 1 point.
ES Short side projected scenario is it break S1 and test day low bounce back but do not go higher than S1 then it will be a short, but given now is 1:30 PM, this scenario will not have enough time to unfold.
Yesterday 50% acting as resistance for ES.
NQ 50% of gap acting as resistance so far.
But PP not tagged yet for ES for the day, and the gap BELOW is not tagged either.
So, ES likely an attempt to take out PP first. And then depending on where NQ is at that time, we may get a complete upside gap fill or failure to new low for the day in 3pm slot.
As expected, PP tagging done. 1 pm slot new high.
ES and NQ tagged PP although mine are on 1615 close. 200% OR extension is still a high odds target but we’re short of it.
Considering both ES and NQ have just made a new high in 1pm slot, upside gap likely?
I mean 100% OR extension, obviously.
Remember the relative expansion?
It is completed now from the mini higher low formed in 11 am slot.
When morning high no longer acts as support, the sell off will lead to a fast decline to complete the downside gap fill process stalled yesterday.
Before that happens, yes, the bias is still favouring more upside.
Can you explain the relative expansion LC, with regards to numbers/price levels? I’m a bit confused. I thought relative expansion meant today’s range = 100% reference range (yesterday).
The one you are refering to is absolute expansion.
For daily level or higher timeframe, absolute expansions are the #s posted in the cheatsheets with 2x.
Relative expansion are moves that have measured range equal to the reference range. Classic chart patterns of this kind – 3 pushes, 1 to 1 measured move, etc.
Thanks, I understand now. I had marked on the chart the measured move from 1100 low to 1230 high and I actually entered long at its 50% (plus ORH, VWAP) since the target was the same as the 100% OR expansion and PP.
Some asked why keep talking about bearish scenario yet saying the bias is tilted towards more upside.
This is essentially the nature of daytrading – you have to be aware of the risk and evaluate the potential scenario that will negate the bias you are leaning on.
For example, hanging on to a long position now is preferred over fading the current up move.
Yet, it is important to simply drop your bias or opinion the second that 09.5 1-minute swing low is breached, and, possibly jump onto the short side too =)
The bias from 1 pm new high is now used up,
Bullish scenario continue.
To break the pattern price needs to break 09.5 zone.
All short side bias gone.
No more sell this afternoon.
2x OR level tagged as well.
Now only upside gap fill left.
A easy ride so far =)
Tick indices having a huge divergence to the last 2 mini swing top.
Early warning sign of weaknesses.
There – the drop.
If it is going to materialize into a big selloff, then 12.50 should not be breached again. =P
Trying to sell break off PP unsuccessful.