ES PRE MARKET THOUGHTSThis a sample of how I do my market preparation. The night before I form a hypothesis of how I will approach the day if the market gaps up or gaps down. Preparing the night before takes out all the emotion and once I see the morning gaps I then refer to my plan for the day.
White Lines show the Price Levels I will be paying attention to tomorrow along with the Highs and lows of the day and pivots:
- 1728.5 (previous gap fill, semi-support, if not for a gap fill wouldn't consider. Could run down to 1717.50 before bouncing)
Will look for Gap Fills on an up gap under the R1 pivot and a down gap above the S1 pivot. If the NQ gaps over its High I will consider running with the index long at the open. If the 3 indexs have a bearish gap down, near there lows today, will look to short and go with the gap. If I was to short any index I consider the YM first.
Will only consider an ES or YM fade short if the indexs gap up and run into the R2 pivot and the NQ is lagging. The false up day on the NQ daily chart has the shorts sitting at the highs of the NQ. I don't want to risk a short squeeze.