ER2 Analysis 01/31/07

[TinGull 10]

The final day of January, and a Fed Day Should be fun!

 

The ER saw some seriously choppy action yesterday lending us a pretty mild looking profile.

 

 

Our levels are as follows:

VAH - 801.5

POC - 799.3

VAL - 798.1

 

This gives us a VERY small value area of 3.40. Price right now is inside of value, but we have a steady stream of news to contend with this morning. IF we end up opening inside of value, I would look to short the VAH and possibly long the VAL...with the consideration that we are still near these "critical mass" levels of 800-805. IF ER was to break 805, then I'll be looking long.

 

Remember too, that ER loves the POC. So, always keep that in mind. Our POC for today also likes up with the high of 1/29, POC from 1/16 which was also the high of 1/25. So...we did break that, but are trading right there as of this moment.

 

The TPO count for yesterday favored sellers by a small amount. 164/147. Always good to keep in mind what other time frame investor had control of the day going into the new day.

 

Key areas: 800.00 remains key. POC is there, many highs from previous days...big round number...it's key. We do have a naked POC from the 26th below us at 786.2. Price usually likes to gravitate to those naked POC's, so watch for that level coming in the next short while.