ES -- short term direction for Sunday eve

It's very hard to tell where the ES is going on Sunday night. I'm not spending a lot of time on different scenarios for Sunday eve, since the ES will unfold and tell the story for the market open on Monday. The 15minute chart has many different potential patterns, both bullish and bearish. For now, let's just wait to see how the chart matures on Sunday eve/ Monday early morn pre-market.

Right now, I see the bias as slightly UP (bullish scenario below) as long as 1025 holds, based on the 15min and 60min charts. The 15min chart is posted here, the 60 min charts are posted in the post below this one.

Expect ES to trade between 1025 and 1030 until either breaks.

Bullish: 1030 breaks higher, then expect 1035, 1038, 1044, 1060.

Bearish: 1035 breaks lower, then expect 1022,1015, 1008, 997



What's going on thus far in the ES? The chart below suggests a range with support at 1020 and 1015, with resistance at 1032 and 1038. Most of the action is between 1020 and 1032, with what appear to be false breakouts above 1032 and below 1020. Thus, the use of stops is even more important, especially for any momentum breakout trades.

What we seem to have is a channel (rectangle) in an uptrend, which can resolve either to the upside or downside. Since the trend is up, I consider it up until broken.




* ChristopherStockGuy is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. For details, see the post from SATURDAY, AUGUST 15, 2009 titled "Disclaimer".