10:17 am EDT: As the leaders suggested, there was a test of the ~1125 area, but it came much sooner than expected, with traders not waiting for the bullish ISM report. The ES traded to the upper end of the projected daily range pre-market and easily exceeded it after the open. In general, when the projected range is broken early, there is a good chance of a trend day developing. The ES is now testing highs and, if it accepts here (which it is currently doing), it should be able to launch to new highs. However, if weekly R1 at 1123.00 is broken to the downside, it is a sign shorts are piling in and it means new highs are less likely.
Related Posts
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- #eMini S&P 500 Feb.7.2012 – Consolidating gains (Feb 07, 2012)
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