ES

There was an opening bull gap, but yesterday formed a bear wedge channel. The market opened at the top of this channel, and the high of the second bar was lower than the high of the first bar. This indicated a high probability that shorting would be a better choice, aiming to at least close the gap.

  • Entry Point: Place a stop sell order 1 tick below the low of bar 3.
    Take Profit (TP): The bottom of the gap.

  • Entry Point: Place a stop sell order 1 tick below the low of bar 10, anticipating a potential 1 measure move down.
    TP: The low of the 19th bar.

  • Entry Point: Bars 19 and 22 form a higher low major trend reversal, with the price at the lower part of the bearish channel and a possible 50% pullback. Place a stop buy order 1 tick above the high of bar 22.
    TP: The 27th or 28th bar.

  • Entry Point: Place a limit short order at the channel line.
    TP: The bottom of the channel near the 36th bar, and forming three pushes down.

  • Entry Point: Bar 37 shows a significant bullish surprise; consider placing a stop buy order 1 tick above the high of bar 37.
    TP: The channel line around the 43rd bar.

  • Entry Point: Bar 44 is a breakout and bar 45 is a strong follow-through. If buying above bar 45, order cannot be executed at bar 46. Wait for the market reaction and the ideal entry is above bar 50.
    TP: The 67th bar, due to a 1 measure move.

CL

GC