ES Daily Plan | December 2, 2024
My preparations and expectations for the upcoming session.
For new followers: The yellow levels highlighted at the bottom left of the chart are the primary levels that I focus on intraday. My strategy for preventing impulsive decisions at unfavorable locations involves following a simple yet effective rule of exercising caution when initiating trades outside of the yellow levels. This implies that I am cautious chasing longs above the final yellow upside target and shorts below the final yellow downside target. It is crucial to understand that refraining from chasing a trade is not an automatic invitation to initiate a trade in the opposite direction.
Visual Representation
Contextual Analysis
As outlined in the Weekly Plan, Friday’s shortened session saw a breakout from the 3-day balance area, resolving unfinished business and printing a new RTH ATH at 6060 in the process. The immediate attention is on monitoring for continuation (acceptance) or a lack thereof (rejection). A strong market is expected to hold and establish value above 6045, while the absence of initiating buyers could potentially target the high volume node at 6015, acting as a downside magnet.
In terms of levels, the Smashlevel is at 6045, marking prior RTH ATH. Holding above this level would target 6070, with a final target at 6095 under sustained buying pressure. Failure to hold above 6045 would open the door for a test of the support area between 6025 and 6015.
Levels of Interest
Going into tomorrow's session, I will closely observe the behavior around 6045.
Holding above 6045 would target 6070 / 6095
Break and hold below 6045 would target 6025 / 6015
Additionally, pay attention to the following VIX levels: 14.18 and 12.82. These levels can provide confirmation of strength or weakness.
Break and hold above 6095 with VIX below 12.82 would confirm strength.
Break and hold below 6015 with VIX above 14.18 would confirm weakness.
Overall, it's important to exercise caution when trading outside of the highlighted yellow levels. A non-cooperative VIX may suggest possible reversals i.e trade setups.
Weekly Plan
Make sure to review the Weekly Plan, which provides a broader perspective and highlights key levels of interest to observe in the upcoming week.
Thank you
Thank you, buddy! Let's have a tremendous week.