Princetontrader Pivot Report November 23, 2016

MARKET VIEW

7:12 am ET  Webcast to follow. Yesterday we discussed the likelihood of trading down to the old all-time high of 2191.50 in the webcast and the charts and indicated that turning that area from long time resistance into support was critical if the Bulls were going to maintain their advantage over the tape. We traded down to 2191.75 and made matching lows. From there we did new highs. As we head into the holiday the bulls need to continue to hold that levels and make higher highs gradually. The upper Bollinger Band has run away and hidden so the likelihood of a slight pullback within the next week is pretty likely. However, absent news I would expect that pullback to be muted.

Tuesday's Post: "Bulls did what was required on Monday by holding the RTH opening up as support and buying the morning dip. What followed was a grind higher that accelerated during last night's Globex. There are new all-time highs on Globex and in the cash. The Bulls will want to hold the old all-time high of 2191.50 as support and build upon the push to 2203. Bear will need to get back below the old high and close below today's regular open. Beyond that, absent news to fuel a down move, the bulls can continue to grind the tape higher."

Monday's Post: "As we begin the new week the Bulls remain in the drivers seat. The 2150-2170 trading range has been converted and left behind. Test of the 2177-2179 area have been successfully defended last week and provide support for a move to the continuation high at 2190.50. The bear must use the new week to put enough pressure on the Bulls to make a test of the new Weekly Pivot at 2173.43 interesting. There is no meaningful pullback without converting weekly pivot to resistance. Bears need news for any sustainable break as the market continues to have a bid. I a vacuum we trade higher. The shortened holiday week favors this as well."

Friday's Post: 'The Bulls pressed their advantage right off the regular open with a hard push higher. Bulls never looked back and were able to print a new contract high for December at 2185.50. As we head into Friday's session we've seen a minor pullback to the 2177 area. Bulls will need to keep up the pressure and push toward the continuation high 2191/92 and the upper Bollinger Band. If the bears are going to mount any threat at all they must convert 2177 and 2170.'

Thursday's Post: "Yesterday was spent chopping around 2170-2172 without much opportunity for a trade that would really move. With all the volatility this month a couple days of chop is expected. The same set of rules apply for today as yesterday. 2170-72 is the key price zone. Bulls want to keep it as support and move toward the continuation high at 2191/92 and engage the upper Bollinger Band. Bears wants to convert 2170 and get back into the 2150-70 range in order to push back toward the middle Bollinger Band (20 day sma). I continue to believe that the bears will need a catalyst to accomplish this effort."

Wednesday's Post: "With the 15 handles move above the 2150-2170 price range the Bulls have areal opportunity to push the tape to the upper Bollinger Band and the Continuation High of 2191.50. The key to that outcome is maintaining 2170 as support. The daily pivot matches with that area (2172) and Bulls will need to keep price above the entire session for it to be considered established support. Should the Bears be able to break 2170 then they would need a push back to yesterday's low at 2161-62 and preferable a close below that area. The bear by losing the trading range battle are now at a significant disadvantage for the remainder of the week. They'll need news in order to mount any sustainable pullback."

 

PIVOT TABLE

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ES CHARTS

Hourly:

Bulls want to hold that steep trend line in order to avoid a move back to retest the lows from yesterday. 2203 has been hit three times. a move over that level opens up 2214 and then a retest of 2203 as resistance. Absent news that can sustain a down move for more than an hour or a day we remain in dip buy mode.

Bulls want to hold that steep trend line in order to avoid a move back to retest the lows from yesterday. 2203 has been hit three times. a move over that level opens up 2214 and then a retest of 2203 as resistance. Absent news that can sustain a down move for more than an hour or a day we remain in dip buy mode.

Daily:

Yesterday we discussed the likelihood of trading down to the old all-time high of 2191.50 in the webcast and the charts and indicated that turning that area from long time resistance into support was critical if the Bulls were going to maintain their advantage over the tape. We traded down to 2191.75 and made matching lows. From there we did new highs. As we head into the holiday the bulls need to continue to hold that levels and make higher highs gradually. The upper Bollinger Band has run away and hidden so the likelihood of a slight pullback within the next week is pretty likely. However, absent news I would expect that pullback to be muted.

Yesterday we discussed the likelihood of trading down to the old all-time high of 2191.50 in the webcast and the charts and indicated that turning that area from long time resistance into support was critical if the Bulls were going to maintain their advantage over the tape. We traded down to 2191.75 and made matching lows. From there we did new highs. As we head into the holiday the bulls need to continue to hold that levels and make higher highs gradually. The upper Bollinger Band has run away and hidden so the likelihood of a slight pullback within the next week is pretty likely. However, absent news I would expect that pullback to be muted.