Daily Plan 05/21
After ending the OTFD on the daily, buyers got a bit of a squeeze as expected. Granted the headlines intraday helped. The focus now shifts to the upper most shelf of the composite profile established during this balance. ES with relative strength when looking at it from this point of view and already above/within the zone with NQ slightly below. Let’s observe levels on both closely to try to get on the right side of things tomorrow.
ES
Main focus for tomorrow is 7452 - 60 with the former being more important. Arguably the upper most shelf of the composite of this balance. Buyers need to hold this to follow through after ending the OTFD yesterday and attempt a break away from value in hopes to resume the trend of the larger timeframe. Back below and we risk remaining rangebound for longer back down towards 7360.
Above 7452 - 60, target 7480. Acceptance above and target 7508 - 10 then 7540.
Below 7452 - 60, target 7417. Acceptance below and target 7358 - 65 then 7336.
NQ
Main focus for tomorrow is 29480 - 500 marking off the upper most shelf of the prior four day balance and the most recent pivot high. Acceptance above puts buyers in complete control. Below and we risk remaining rangebound but shifts the focus to 29335 where the bulk of the value established the last four sessions starts. Only then can we start to really confirm the two way trade and look for a rotation back down towards the lower end of the balance.
Above 29480 - 500, target 29585. Continued strength above and target 29690 then 29780.
Below 29480 - 500, target 29335. Acceptance below and target 29220 and 29075 - 100. Continued strength below and target 28850 - 860.
Thank you, RIzzo! Cheers!