TradeStalker's
Support and Resistance Update
4 / 4 / 2011
(Published Since 1996)
...............................................
Dateline: 6:09 pm eastern time, 4/4/2011
The ES popped up on the open and reached the 1332.50-1333.25
resistance in the first 15 minutes of stock trading, then
turned and dropped 5.25 points to 1327.50 updated support.
The 1330.50 level on the ES and 12400 on the Dow cash acted
like a lid on the bounce and 1327.00 was tested again. A
bounce failed just 1 tick under the 1329 updated resistance,
then dropped to the 1325.00-1324.25 support. That was well
bid, and a run up to the 1327.50 new resistance followed.
That move stalled, and a drop to test the 1325.50 level on
the ES coincided with a double bottom at 2722 on the NQ and
buyers stepped to the plate in the last hour and the market
rallied back nicely into the close.
On Tuesday we get the ISM Services number 30 minutes into
stock trading, and then the Fed Minutes are released at 2pm.
The market did not like it around the 1333 area on the ES
once again, however the 1315.00-1314.25 support zone acted
as very strong support. That area was a resistance area that
turned into a breakout zone, and needs to hold to keep the
upside intact and avoid a transition back to the downside.
The market ended the day in uptrends and the futures settled
well above fair value. So, if there is early weakness it
should be seen as a buying opportunity especially if the
initial support around the 1328.50-1328.00 area on the ES is
held.
If that area is held, then a push higher to test that
1332.50-1333.25 area is still likely. That area has been
sold the last 2 days, so getting through that and holding
could be a chore. However, a move towards the 1335.75-
1336.25 area on the ES and/or 2349.50-2350.50 on the NQ
could be reached before buyers back off if the Monday highs
are cleared.
If the ES does not hold the 1328.50-1328.00 area on a
pullback, then a move back to the bottom of this range at
the 1325.00-1324.25 area on the ES should be in the cards
once again. If that zone is not defended, then a drop to at
least test the 1320.50-1319.50 area is likely before the
market tries to get turned back up.
June 2011 SP futures resistance
symbols: emini = esm1 / big contract =spm1
1332.50-1333.25 key
1335.75-1336.25
1339.75-1340.25
June2011 SP futures support
symbols: emini = esm1 / big contract =spm1
1328.50-1328.00 key early
1325.00-1324.25 major
1320.00-1319.50
June 2011 Nasdaq futures resistance
symbols: emini = nqm1 / big contract = ndm1
2342.50-2343.50 key
2349.50-2350.50
2357.75-2358.50
June 2011 Nasdaq futures support
symbols: emini = nqm1 / big contract = ndm1
2333.50-2332.50 key early
2323.00-2322.00 major
2313.00-2312.50
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Good Trading,
Mike Reed
TradeStalker.com
Copyright (c) 2011 by TradeStalker.com, Ft Wayne, IN.
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