TradeStalker's
Support and Resistance Update
3 / 1 / 2011
(Published Since 1996)
...............................................
Dateline: 5:29 pm eastern time, 3/01/2011
The gap up open was reversed right away from 1332.50 on the
ES, setting up a shorting opportunity and the ES went trend
down to the 1317.50 level (1317.00 was support). A bounce
failed/ reversed at 1325.00 and a drop to the key The
1312.50-1310.00 area followed. A bounce from 1312.50 support
to 1316.75 failed (1317 was updated resistance) and set up
another entry before the market headed back down and reached
1305.50 by 2:40pm. The 1309 new resistance was rejected
twice, and the group was told that lows could be made at
1302-1302 or at the close. The break/ hold of 1307 sealed
that deal as the ES dropped to its 1300.75 low in the last
few seconds of futures trading.
For a change, there was no late day rebound as the bulls
have become accustomed to lately. at this juncture, a 1-2-3
type of top has formed. A test of the 1292.50-1291.50 area
would need to be quickly reversed, and rally with some
gusto, to avoid a melt-down type of move. For the market to
avoid trouble and get back into uptrends, both the 1309.50-
1310.00 area on the ES and the 2319.75-2320.50 zone on the
NQ (also 12100 on the Dow cash) will need to be cleared, and
then held on a pullback.
So, if the market opens lower, a bounce needs to start from
the 1298.00-1297.50 area on the ES to avoid a deeper
pullback. If that occurs, a bounce that stalls out near the
1304.50-1305.00 area should be sold if the market is going
lower. That would be the first hurdle for the market to
clear if it's not falling apart short term. A test of the
1292.50-1291.50 zone on the ES would need to be quickly
reversed, otherwise the downside could gather momentum and
break towards the 1282.50-1281.50 zone where the market must
catch a bid or collapse.
March 2011 SP futures resistance
symbols: emini = esh1 / big contract =sph1
1304.50-1305.00
1309.50-1310.00 key
1316.75-1317.50
March 2011 SP futures support
symbols: emini = esh1 / big contract =sph1
1298.00-1297.50 key early
1292.50-1291.50 major
1288.50-1287.50
1282.50-1281.50
March 2011 Nasdaq futures resistance
symbols: emini = nqh1 / big contract = ndh1
2315.75-2316.25
2319.75-2320.50 key
2328.50-2330.00
March 2011 Nasdaq futures support
symbols: emini = nqh1 / big contract = ndh1
2306.50-2305.50 key early
2296.75-2295.00 major
2285.50-2284.50
2278.50-2277.50
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---------------------------
Good Trading,
Mike Reed
Copyright (c) 2011 by TradeStalker.com, Ft Wayne, IN.
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The foregoing has been prepared solely for informational
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research and data believed reliable, but there is no
guarantee that future results will be profitable.
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This is not an endorsement or recommendation of the SP500
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