Princetontrader Futures Trading Education Daily Report April 17, 2017
The S&P Futures lived up to their near perfect record of demonstrating excellent volatility and tradability while I am on vacation and not trading. It was a fantastic week for directional opportunities. The one consistent last week and the week prior was an inability to trade above and convert the daily midband. The weight of the overall sell rallies environment with the help of news finally allowed price to engage with the lower Bollinger Band. The bears should be able to begin a technical band ride Sunday night. If that occurs the key to the early part of the week will be how price reacts to the new weekly pivot at 2338.25. If the bears want to keep control the weekly pivot will act as resistance and new lows will be seen over the course of the week. The initial task for the bulls would be to convert weekly pivot then attempt to convert the daily midband, the area which eluded them the past two weeks. News will play a major role in who wins the week. Trade accordingly.
Wednesday's Post: "The S&P futures enjoyed another volatile day testing the lower 2330s. Bulls defended that area again so we find ourselves in the same price area that we have seen for the past 10 sessions (2333 – 2357). This tape remains volatile and news driven so you must respect risk and resist the urge to overtrade. I am away on vacation this week and will update the written content as much as my spotty internet access will allow."
Tuesday's Post: "The S&P futures had another two sided session as we continue to battle over the weekly pivot, monthly pivot and daily midband. The volatility is increased by the news tape. I expect this dynamic to continue for the rest of the month. The battle lines remain ultimately 30 handles. 2236/37 support versus 2366/2367 resistance. I am away on vacation this week and will update the written content as much as my spotty internet access will allow."
Monday's Post: "The S&P futures ended another volatile week fighting over the same piece of ground as they began – the daily midband. The new weekly pivot at 2355 will play its usual role in determining who has control of the tape early in the week. Bulls want to create support at 2355 and try to take out last weeks highs. Bears want to seal 2355 as resistance and get back down to the 2337 area. Both sides has difficulty finishing off the other which led to some very nice two way trading. I am away on vacation this week and will update the written content as much as my spotty internet access will allow."
Friday's Post: "The S&P futures are in the midst of another volatile session. Trading was good last night and volatile off the back of Syria and the Jobs Report. We are trading in between the 50 day ema and the daily mid band. This has been the case for the past 4-5 sessions. The winner of this range will win the next move in this market. Bears have had ample opportunity to get below 2336 and failed in each attempt. Bulls have had ample opportunity to get above the daily midband as well with no success. Something needs to give. We are in protection mode today after booking 85 room handles to start the month. The tape is most definitely back. Have a great weekend."
The S&P futures spent another the day below the daily midband but with no new weekly low and no real progress from either side. For a second consecutive day, we rallied into the monthly pivot and daily m id (20 day sma) into the close. That area held as overnight resistance as of this writing for a second consecutive session. The pressure remains on the bears to hold 57-60 and push the market down toward the lower Bollinger Band in the 2334 area. Should bears be unable to do so the upward pressure will eventually be too much to contain and bulls will get a retest of last week’s resistance at 2366/67.