Option Rollover Day

Volume shifts from the June 2015 to September 2015 futures option contracts today with a difference of –7.75 points from ESM15 (June) to ESU15 (September).

All previous chart numbers have been adjusted to reflect the new contract pricing—so, for example, the intermediate-term primary trend line from the expiring June contract at 2057 now becomes 2049.25, and so forth.

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Here are the updated ES charts by timeframe…

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monthly bars…

Screen Shot 2015-06-11 at 10.42.50 AM

June’s high and low are contained within May’s range (inside bar) thus far.

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weekly bars

Screen Shot 2015-06-11 at 10.46.36 AM

The weekly bar paradigm in place since 2009 continues as we watch to see if 2061 can now become the next higher pivot low in the four bar pivot sequence.  Remember, nothing changes until/unless we get a pullback below a higher pivot low that does NOT immediately reverse.  There have only been five times since 2009 that we have had a lower low and each one, with the lone exception of the wave 2 style pullback highlighted in yellow on the chart above, were powerful stop sweep/reversal buys.  This is the roadmap.

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daily bar/range chart

Screen Shot 2015-06-11 at 11.13.38 AM

The rally I pointed out yesterday from the trendline bumps went right back up to the descending VST trendline.  If the pros decide to build a new higher weekly pivot at 2049.25 (was 2057 on old contract)–remaining bears will begin to cover on a breakout above that trendline.  If we get renewed selling–then the stop trove under 2049.25 would be the next major downside target.

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hourly bars

Screen Shot 2015-06-11 at 11.12.00 AM

Yesterday’s head’s up call worked out pretty well.

Next resistance above is at 2107.25 and then above 2113 is where bears would start covering in a major way.  The VST range is 2061 to 2113.

…my .02

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