Daily Plan 03/20
The OTFD continues and we make more new lows on the rolled over contract as well as SPX and NDX. Decent buy effort helped by a headline latter half of the session but ran right into the prior session’s spike and failed. Holding up here for now during ETH so let’s see if we continue to do so into RTH open. A failure back into yesterday’s value would mean an immediate continuation lower while holding it gives buyers a chance to step in and end the OTFD to trigger a squeeze or attempt to shift value higher.
ES
Main focus for tomorrow is 6650 - 52 marking off yesterday’s halfback and VAH. This will be the buyer’s line in the sand. Today’s excess high stops right at the prior day spike base so let’s also observe 6668 to see whether buyers are about it or not. Above Wednesday’s spike base and yesterday’s high 6689 - 92, OTFD on the daily ends and the possibility of new buyers and a squeeze. Acceptance back into yesterday’s value a problem for buyers and likely means the downside is not yet over.
Above 6650 - 52, target 6668 and 6689. Acceptance above and target 6715 - 20. Continued strength above and target 6737 and 6750.
Below 6650 - 52, target 6623 - 26. Continued strength below and target 6600.
NQ
Main focus for tomorrow is 24500 - 530, yesterday’s VAH, halfback, and shelf as well as 24570, a small shelf on the composite and yesterday’s settle. Failure to defend this means we continue lower and likely new lows into end of the week. Buyers defend this and attempt to shift value higher relative to yesterday and they have some hope to start next week.
Above 24500 - 530 and 24570, target 24710. Acceptance above and target 24825. Continued strength above and target 24870s and 24925 - 945.
Below 24500 - 530, target 24420 and 24390. Continued strength below and target 24110.
