Trading plan for Nov. 11, 2015

151110-ES-daily

ESZ5 Daily chart

ES spent most of the morning sessions at the low but but after 10:30 gradually moved back up to the high end of the trading range for the close. The minis recovered some of the loss from Monday.

The ECB president Mr. Draghi will give a speech at 8:15am. His speech also can influence the market move in either direction. Nevertheless if there is no particular news, it is likely for ES to repeat yesterday’s range.

Today is Veteran’s Day. The market is open, but banks are closed.

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Based on the daily chart, ES just went sideways between 10EMA and 20EMA lines. The 20EMA line overlaps 200SMA line, acting as a strong support. Today this support area is likely to hold up again unless the ES breaks below it in overnight trading.

If we are going to repeat Tuesday’s range, the Monday gap at 2093.75 needs to remain unfilled today. The 2084-85 zone needs to defend this unfilled gap and prevent ES from popping up further.

On the downside, 2062.50-64 will remain an important support zone for today. As long as ES doesn’t go under 2062 line, the buyers will continue to buy at the support zone and push the price back up again.

Outlook

Short-term — Neutral
MEDIUM TERM — Bullish
LONG-TERM — Bullish

Support and resistance

Major support levels: 2064-62, 2052-54.50. 2035.50-32.50, 2025-23.75
Major resistance levels: 2114.50-16.50, 2112.75-23.50, 2131.50-29.75