ES Update

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Screen Shot 2013-03-22 at 8.45.30 AM

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As expected. the pros have parked ES in the VST range I pointed out between 1529.50 and 1558.75.  The idea here is to let the next structural pivot(s) form to set up the triggers for the next move.

In my last post I pointed out that if we were going to get a stall in the push up from the stop run under 1531.50 that it would likely come on a retest of the filled gap at 1552.50 and that is what happened.  I am watching the red bearish VST trident channel on the chart above and we are getting a touch of the top rail as I type.  We got a break in the VST support trendline yesterday, and that increases the possibility of a move lower here–with the trident channel acting as referee.  If we get a sustained move > 1544 that bearish channel will be taken out–otherwise we could see selling come in with the first target being accumulating stops under 1529.50

So, early on here–let’s keep an eye on the 1544 area.  If that minor bearish channel (counter-trend) is invalidated–we likely continue with the VST range-bound action as we wait for the time cycles to catch up to the recent bullish breakout.

All trends remain up > 1525.25

…my .02

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