S&P (e-mini ) 19th April 2011 Daily recap.

Daily close below the Weekly lows, and also support levels @ 1300-1304

Breakout of the 5-day lows on Monday, normally will continue to extend down towards Tuesday lows.

Resistance 1306.50

S&P Weekly and Daily range…

Nothing is ever 100% guaranteed when trading the markets, and Tuesday’s price action is a perfect example of that.

Using a multitude of timeframes along with breakout patterns in a number of those, this often suggests further weakness in the short-term (Tuesday’s lows) with a possible reversal pattern down towards the April lows @ 1256.

Breakout pattern lasted only 8.5 points outside the daily lows

Once Tuesday started trading above 1303, and then later in the day above 1306.50 short –term patterns suggest a higher daily close, as it goes look for the channel highs.

In fact, it shouldn't have moved above the weekly lows @ 1298.75 during globex hours, so I knew that once above 1306.50, it would swing back towards the highs @ 1316.50 (random resistance)

If that exact same pattern appears later on in this month or the next,  then I’ll have the exact same expectation, that the S&P is moving lower




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