Price seems to be reacting to this long term level at about 132 0/32. I've been having some successful longs recently and plan on continuing to play a bounce here until it tells me to go away.
Weekly:
On the hourly you can see that we are getting comfortable above the 200MA (yellow line). We've formed a little double bottom and have trended up for the last 3 days.
comparing a weekly chart to an hourly chart is a far stretch. What is your time frame for trading? IMHO I think there is more room to the downside looking at the daily and weekly. The next support I see is around 127
The following user says Thank You to Mozart2112 for this post:
Yeah I see that level, but I think we'll bounce from here. The long term pullback is at the 38.2% level, we are on the edge of higher volume levels, this has proven to be a major S/R level at least 4 times, and the daily and shorter term charts are making a reversal pattern imo. Unfortunately I missed the good moves in ES and ZN today because I slept in, but I'm very bullish here.
I day trade, but I think being aware of levels like this gives great opportunities. I may leave a runner on from here after I get a good entry on ZN, but I'll mostly be buying the dips watching hourly and 5m charts and going for short term intraday trends.
