Trading plan for Nov. 3, 2015

ESZ5 Daily chart

ESZ5 Daily chart

ES kicked off the first trading day of November in bullish form. Even though the futures sold off a little overnight during Asia trading time, it fully recovered all overnight loss before the US open. And then it went higher. The price touched 2100 briefly before retracing into the close.

Today ES could make a consolidation move first before it attempts to rally again. 2086.75 was yesterday’s intraday breakout level, which could be retested once today either in overnight trading or early morning sessions.

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2064 turns into the current major support level. As long as this level holds up, buying on dips will continue.

Sentiment is still bullish and favors upside movement. This could prevent ES from profit taking at the higher level. Total volume was less than the prior day, and market internals have a short-term extremely overbought condition. In some days, we may see a fast pullback and fast bounce again, perhaps next week..

Outlook

Short-term === Bullish
MEDIUM TERM === Bullish
LONG-TERM === Bullish

Support and resistance

Major support levels: 2064-62, 2055-56.50. 2014.50-12.50, 2005-02.75,
Major resistance levels: 2099-2103, 2114.50-16.50