ES Daily Plan | December 24-26, 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
A shortened trading session is on the schedule for tomorrow; the market will be closed on Wednesday, with regular hours resuming on both Thursday and Friday. I'll be back on Thursday to prepare for Friday's session, meaning the levels outlined in this plan remain valid until Thursday.
Today's session remained within the initial targets (6045 and 5960), forming an inside day, characterized by its extremes being contained within the previous day's range. The poor structure from Friday was partially filled, with responsive buying emerging within the C-period single prints. The closing spike is of short-term interest; acceptance opens the door to continued cleanup of structure above, while rejection would target a traverse of today’s value.
In terms of levels, the Smashlevel is at 6034, marking today’s spike base. Holding above this level would continue the cleanup of poor structure above, targeting 6063 and 6079, with a final target at 6092 under sustained buying pressure. Failure to hold above 6034 would target 6014, with a final target at 5980 under sustained selling pressure.
Levels of Interest
Going into tomorrow's session, I will closely observe the behavior around 6034.
Holding above 6034 would target 6063 / 6079 / 6092
Break and hold below 6034 would target 6014 / 5980
Additionally, pay attention to the following VIX levels: 17.84 and 15.72. These levels can provide confirmation of strength or weakness.
Break and hold above 6092 with VIX below 15.72 would confirm strength.
Break and hold below 5980 with VIX above 17.84 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.
Merry Christmas Smash! Wish you nothing but the best! Let’s crush 2025!
Thank you, buddy! Another green day in the books. I won’t be trading tomorrow. Wishing you and your subscribers a Merry Christmas!