Princetontrader Futures Trading Education Charts of The Day February 13, 2017
The S&P Futures followed through to the upside on Friday. Very typical action following a range breakout to all-time highs the prior day. Bulls push up into the 2315 area and have made a new all-time high of 2318 during the Sunday overnight session. The push to 2318 was enough to engage the upper Bollinger band on the daily chart and preserve the current upper band ride. The Bollinger Bandwidth indicator continues to rise (indicating band expansion) but at 2.78 this morning there is plenty of room for further expansion. Every morning I show an hourly chart. That chart is particularly telling this morning as you look at the middle band on that chart. Price has held the middle band on the chart since price moved above it following the final weekly pivot rejection on February 8th. As long as hits of middle band are bought the bulls remains in control. We have a new weekly pivot (2303.33) and any test of that area in the next 1-2 sessions will be critical. Each side will want to establish weekly pivot as their ally. Should Bulls continue higher expect all dips, especially regular session morning dips to be buys. Bears need to convert weekly pivot to resistance and work their way back to the daily midband (20 day sma). That move would take quite a push. Until then the bulls remain in control.