ES Daily Plan | February 24, 2025
Key Levels & Market Context 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 sharp liquidation took place on Friday, resulting in a multi-distribution profile with four sets of single prints, which effectively wiped out multiple days' worth of gains. As discussed in the Weekly Plan, the immediate attention is on monitoring whether we’ll see an immediate downside continuation or technical fills of Friday’s poor structure. Sellers remain in short-term control as long as acceptance is not re-established within Friday's IB.
In terms of levels, the Smashlevel is at 6025, marking Friday’s low. Holding above this level would target the last set of single prints at 6045. Acceptance above 6045 would continue to target technical fills toward the resistance area between 6072 and 6082—a potential reload area for sellers in the absence of an immediate downside continuation. Conversely, failure to hold above 6025 would target 6004, with a final target at 5967 under sustained selling pressure—both of which are worth monitoring for buying activity in case of an immediate downside continuation.
Levels of Interest
Going into tomorrow's session, I will closely observe the behavior around 6025.
Holding above 6025 would target 6045 / 6072 / 6082
Break and hold below 6025 would target 6004 / 5967
Additionally, pay attention to the following VIX levels: 19.28 and 17.14. These levels can provide confirmation of strength or weakness.
Break and hold above 6082 with VIX below 17.14 would confirm strength.
Break and hold below 5967 with VIX above 19.28 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.
Everyone is trading around 6025!
Thank you very much!