ES1! - TESTING 0.382 FIB RETRACE

27 mar 2018

Here we have a 45 min chart of the ES1!.

The ES1! rebounded nicely yesterday fueled by a 45 min squeeze firing off to the long side late in the day.

The ES1! is now testing the 0.382 Fib retrace level of the 3/13 high to the 3/23 low retrace.

If it fails to break through this resistance level, look for a reversal to the downside.

Also note that a 45 min squeeze is once again active.
The direction that this squeeze fires off will add to the momentum of the price movement coming off of the 0.382 Fib retrace level.

Happy Trading!

~KP

27 mar 2018

Trade chiuso: obiettivo raggiunto

Looks like my prediction was correct!

The ES1! did not break through the 38.2% Fibonacci retrace, reversed, and proceeded to plummet down to 2597 and is now hovering around 2612 .

After failing to break through and reversing, the ES1! also fired off a 45 min squeeze to the downside which fueled an explosive move down to the Daily S1 pivot level at 2612.75.

I was trading the YM today so did not catch this move, but I hope some of you did!

I typically combine Fib levels with Pivot levels to help determine entries and exits.

Today the ES1! tried to break through the Daily S1 pivot level near 14:00 CST, but failed to do so and ended up closing the primary trading hours right at the S1.

A nice trade would have been to sell short with a market order when the 45 min squeeze fired off at 2638 (close of the candle) and ride the momentum down to a target at the next pivot 2612.75 (Daily S1) for a $1262.50 profit minus commission.

Happy Trading!

~KP