ESH6 March 2, 2016. Daily chart.
ES had a continuation high movement yesterday.
The price not only held well above the 1965 level, it also made a new high by closing at the high end of the trading range.
The price action still was bullish, but total volume decreased by 10% in comparison to the previous day. Today we may see some profit taking.
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The price could be pulled into the 1970-68 zone and hold there in early sessions. In the afternoon session we may still see a rally if 1970-68 zone can hold ES up.
A move below 1964.75 could push the price down to the 1957-58 support. However as long as ES stays above the 1950 level, the short-term up-trend is still intact.
The PMO reached the zero level, which is a neutral area. The 200-day moving average line (1998) is ahead of the current price. The rally may pause there for a while.
We need to see a daily reversal sign first before we can expect sellers to step into this market. Now is RRSP and IRA month. The retirement fund investing could help hold the US market up.
Outlook
Short-term === Bullish
MEDIUM TERM === Neutral
LONG-TERM === Neutral
Support and resistance
Major support levels: 1950.50-52, 1928-30, 1912.50-11.25,
Major resistance levels: 1995.50-98.50, 2007.50-08, 2018.50-21.75