Recap As expected, the FBO against Y+1 brought us a nice drop back down to Y-1. ES found support at prior intraday double bottom zone and bounced back up to midpoint of the week. ES failed to clear the midpoint and slided back down. Closed the week below Y-1 and near week low.
Outlook Two opposite scenarios in the making.
If ES can clear B-0 quickly, we have a bigger and stronger double bottom on daily to power ES back up to at least B+1. And if that is cleared, B+3 should not be a problem.
However, the daily trend is now down with B-0 very strong resistance, a drop to B-2 is more likely than a reversal.
Recap of Last Week Run above yellow zone tagging prior week high. Then w. thrust against prior week high and stalled back to prior week midpoint and failed to ...
Lawrence's Comment
Recap
Retest of Y+1 / 1.66 round number level confirmed its resistance status. That opened the door to Y-0 and below. Closed the week below Y-0 and near week low.
Outlook
Y-0 ...
S&P 500 Feb 02 to Feb 06 Outlook
Lawrence’s Comment
As expected, the FBO against Y+1 brought us a nice drop back down to Y-1. ES found support at prior intraday double bottom zone and bounced back up to midpoint of the week. ES failed to clear the midpoint and slided back down. Closed the week below Y-1 and near week low.
Outlook
Two opposite scenarios in the making.
If ES can clear B-0 quickly, we have a bigger and stronger double bottom on daily to power ES back up to at least B+1. And if that is cleared, B+3 should not be a problem.
However, the daily trend is now down with B-0 very strong resistance, a drop to B-2 is more likely than a reversal.
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