TradeStalker's
Support and Resistance Update
5 / 19 / 2011
(Published Since 1996)
...............................................
Dateline: 7:20 pm eastern time, 5/19/2011
Members were told before the open (via instant message) to
expect two-sided action after yesterday's trend up day, with
the expectation that strength would be sold and pullbacks
bought. A good early short opportunity presented itself
after the ES gapped up over 4 points and traded higher to
the published 1344.75-1345.25 resistance zone, which was
rejected. The rejection resulted in the ES trading down to
fill the gap at yesterday's close by around 10:15 am. The
market then bounced up to the published 1340.50-1341.25 zone
where it stalled until around 10:45 am, when it sold off to
the 1335.25-1334.75 fixed support zone and put in the daily
low of 1334.50 around 11:15 am. The ES then reversed and
traded back up to 1342.50 before a small pull back around
12:45 pm. In the afternoon, the ES bounced back up to make a
small double to at the 1343.25-1343.50 area before pulling
back to test the 1336 area. Starting around 2:45 pm, the ES
got itself turned back around and rallied back to 1342 just
before the close.
The short term indicators are still a little bit away from
getting overbought, but the sentiment sure is getting a bit
frothy again. The action on Thursday was skittish, but with
the bounces not able to stick, the ability to move higher
shouldn't be easy. At best expect another 2-sided day if the
1343 area is exceeded. If they get through that and not
quickly reverse, then a pop up to the 1344.75-1345.25 area
will be reversed if the market is weak. If that area is
exceeded then we could see the 1349.50-1350.50 area get a
test, but that's as far as a bounce should go really.
If the bulls don't step in and keep the market above the
initial support, a high should be in as that should start
another roll over and test the next support areas which are
looking like key areas short term. If the market drops back
to that area for a third time in 2 days, it needs to spring
right back up or else there is something changing again and
a test of the 1331.50-1330.50 area would be in the cards on
Friday.
June 2011 SP futures resistance
symbols: emini = esm1 / big contract =spm1
1342.50-1343.00
1344.75-1345.25 *key
1349.50-1350.50 *strong
June 2011 SP futures support
symbols: emini = esm1 / big contract =spm1
1340.75-1340.25 *must hold
1335.25-1334.75 *key
1331.50-1330.50 *major Friday
1328.50-1327.50
June 2011 Nasdaq futures resistance
symbols: emini = nqm1 / big contract = ndm1
2369.50-2370.00
2372.75-2373.50 *key
2382.00-2383.00 *strong
June 2011 Nasdaq futures support
symbols: emini = nqm1 / big contract = ndm1
2366.25-2365.75 *must hold
2358.75-2358.25 *key
2348.00-2346.75 *major Friday
2337.25-2336.25
Good Trading,
Mike Reed
Copyright (c) 2011 by TradeStalker.com, Ft Wayne, IN.
TradeStalker Updates may not be redistributed without
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Past performance does not guarantee future performance.
The foregoing has been prepared solely for informational
purposes and is not a solicitation, or an offer to buy
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research and data believed reliable, but there is no
guarantee that future results will be profitable.
We are not advocating trading futures. The prices and
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in which you could trade. We occasionally mention the
SP500 and Nasdaq futures markets because it is
extremely liquid and tends to lead the other markets.
This is not an endorsement or recommendation of the SP500
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is substantial. You can lose more than your original
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