ES Daily Plan | November 11, 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, the market formed a triple distribution profile following two consecutive upside gaps on Wednesday and Thursday, both of which remain unfilled. Friday saw a continuation higher, printing a new ATH at 6040.50; however, an excess high was formed, and the closing session saw a pullback. Buyers managed to shift the 5D VPOC (short-term value) higher, from 5767 to 5995.
Immediate attention is on Friday’s afternoon pullback low in the F-period at 6018, to gauge short-term strength or weakness, where notable absorption of aggressive sellers took place (visual on the chart), as well as the LVN at 6014.
In terms of levels, the Smashlevel is at 6018/6014, marking both Friday’s afternoon pullback low and a low volume node (LVN). Holding above this area signals strength, targeting the current ATH at 6040.50, with a final target at 6066 under sustained buying pressure. Failure to hold above 6014 would target support area between 5995 and 5985.
Levels of Interest
Going into tomorrow's session, I will closely observe the behavior around 6018/6014.
Holding above 6018 would target 6040 / 6066
Break and hold below 6014 would target 5995 / 5985
Additionally, pay attention to the following VIX levels: 15.64 and 14.24. These levels can provide confirmation of strength or weakness.
Break and hold above 6066 with VIX below 14.24 would confirm strength.
Break and hold below 5985 with VIX above 15.64 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.
14 and 18 stalled the liquidation perfectly!
Let's be patient for price to reach our levels, aiming for another green week! Thanks, buddy