ES 2/24

ES Hourly

If ES doesn't get above 750 as well as yesterday's low at 752.5, it's likely to form the 2nd leg of a Measured Move Down. Floor of the broadening formation (blue downtrend line) will be where I'll look out for support until I see a horizontal support. From where it is now, ES is likely to go up to test 748 first, then 752.5 & 757.5. I'm not going to even make a wild guess as to where it'll go after that.

Fed giving their semiannual monetary policy report to the Senate Banking Committee today (tues) and the House Financial Services Committee tmrw (Wed).

GAME PLAN

Setup that I've been using earlier today:

ES 3min & 10min

Scalp within the zone of 740 - 750.

Be prepared for ES to trade to the floor of the Broadening Formation on ES Hourly (mentioned above).

(On ES 10min) Sell short only from KC's centreline - price should be forming a lower peak than the first one that enters the KC. Do NOT sell on the first close of price below KC's upper band. Watch stochastics - look for downward hook at 50 after it's come up from oversold; look for lower peak to form at overbought and at 50.

RULES

Scalping:
Get out of any open positions once the tape shows that the reason for getting in is no longer there

Daytrades:
Get out ONCE price closes above or below support & resistance