Oct. 4th YM Analysis

[Soultrader 12]

My bias remains long as price will most likely test the May high at 11872. However, I a consolidation may be expected due to the high %TREND at 60.91%.

 

By taking a look at a MP chart (attached) we have a higher value placement compared to Oct. 2nd. However we are still overlapping from the 9/27 - 9/29 value areas. It looks as if price has entered a new zone from roughly 11785 to 11820 (see attachment). Thus, I will look for a possible rotation to both ends.

 

With this in mind I will be looking at two key pivots for the day: daily pivot and the value high pivot.

 

Both pivots offer opportunities for a fade. Overnight market has held at the daily pivot indicating possible support. A break below this and I will look at the next line of support at 11765 - 11770. This is the POC from 9/27, 9/28, and value high pivot of 10/02 cluster zone.

 

Any break above yesterdays high will lift towards the May high at 11872 for a good 50 point move.

 

Update: premarket action is trading at the 11770 level. Next support level I will look at is 11720.