TradeStalker's
Support and Resistance Update
11 / 8 / 2010
(Published Since 1996)
...............................................
Dateline: 6:06 pm eastern time, 11/8/2010
The market opened lower and the ES dropped to the 1215.75-
1215.25 zone and bounced. The first bounce failed after
getting to 1219.00, then the ES dropped just under the 1215
level and turned right back up as the NQ was still pretty
strong. The ES tested 1221 four times in the afternoon, each
reversing, but the 1218.50 level was held on each pullback
and the market stayed range bound into the close.
The market looks to be running out of steam at these levels.
The ES had a lower high and lower low on Monday and buyers
appear to be pulling bids as soon as there is a pop to the
upside. The 1221 area was rejected 4 times, and although the
1218.50 area was good support, the risk there versus getting
a potential 2 point reward isn't good in my book.
So, on Tuesday look to sell a move that reverses the 1221
area if they get back up there. If that does play out early,
then a break of the initial support opens the door for a bit
of a "get me out" type of drop, especially if the 1215 area
is easily cut through. If there is a drop to test the
1211.00-1210.50 zone on the ES, then a reversal (or a bounce
anyhow) could occur but the 1218-1219 area would then become
good resistance. If the ES is able to break and hold over
1221 on a pullback (not very likely) then the upside could
get a bit more stretched towards the 1228 area, but that's a
long shot. If that level is seen, then a reversal back to
1221-1220 would be a good odds trade.
December 2010 SP futures resistance
symbols: emini = esz0 / big contract =spz0
1221.50-1222.50
1227.50-1228.25
1232.50-1233.00
December 2010 SP futures support
symbols: emini = esz0 / big contract =spz0
1218.75-1218.25
1215.00-1214.75
1211.00-1210.50
1206.50-1206.00
December 2010 Nasdaq futures resistance
symbols: emini = nqz0 / big contract = ndz0
2189.50-2191.00
2197.50-2198.50
2204.25-2205.25
December 2010 Nasdaq futures support
symbols: emini = nqz0 / big contract = ndz0
2181.50-2180.50
2173.50-2172.50
2165.50-2163.75
2154.75-2153.75
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Good Trading,
Mike Reed
Copyright (c) 2010 by TradeStalker.com, Ft Wayne, IN.
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