ES Weekly Levels (Jan22-26)

The NQ & ES successfully retested their respective 21 emas and had very strong bullish continuation on Thur & Fri breaking key resistance. NQ closed above the Dec 28th high and ES finished the week above the Mar 29th high. ATH is in play for both this week. The NDX and SPX have already made new ATH's and have room to their 1.13 Fib extensions. Odds of a blow off move then hard reversal is high.

SUMMARY

• ES finished with a gain of 1.% after trading in a range of 1 pts.
  
• ES successfully tested the 21 ema.
  
• ES closed above the Mar 29th high after recovering more that 2% on Thurs & Fri.
  
• ATH clearly in play
  
• Earnings season heats up with key reports from TSLA, NFLX, TNX, LMT, MMM, V, VZ & INTC
  
• AI hype drove XLK and chip stocks to new highs led by NVDA which gained 20% in 2 weeks.
  
• Market strength remains consolidated in mega caps
  
• ES is heavily overbought with a Stoch (5,1) reading of 96.48. XLK has a Stoch (5,1) reading of 99.61
  
• Potential for a blow off move higher is very high.
  
• Econ data includes PMI on Wed, Durable Goods on Thurs & PCE on Friday.
  
• RSI 66.18 VIX at 13.31 | 10 year 4.13%