Today’s trade was a lesson in patience because it never really developed. The ES opened in our 77.75 / 79.25 trade area before moving up to our 80.75/ 83.25 area where it rotated once and moved up under our next 85.50 / 87.75 area. Then the 10am news jettisoned the market through that area before stopping dead on our 91.25 / 91.75 range. From here the first rotation looked like a good trading opportunity. The buyers could not push price up to the high and sellers took over. The short trade was a little risky after such a big, news driven up move but I thought it was worth the risk. The next rotation price probed down lower and the trade looked like it was working. However by the next rotation down, the sellers were not interested in pushing price down further so it was time to exit the trade.
The news propelled the ES right through the major 1080 daily comp LVN. We are now back in the 1093.50 daily comp cluster which the ES respected and is the high for the day (at least for now). There are a lot of little resistance areas above and 1100 should be the major level.