All Time High Resistance
ES bulls attempted to break above the all-time high but have failed with a nasty-looking daily candle for the 23rd. This could be an opportunity to short as there is also some small bearish resistance on the RSI.
Long Trade Opportunities
- Breakout Above Resistance:
- Entry: Buy above $5368. This is the false break high from today. Long trades could be considered above this level as price looks for new target above during price discovery.
- Confirmation: Look for a strong daily close above $5368 with increased volume.
- Target: $5500 psychological level.
- Stop Loss: Below the breakout point, around $5300.
Short Trade Opportunities
- Rejection at Resistance:
- Entry: Sell around these levels ($5331) if the price fails to break through and shows bearish reversal patterns.
- Confirmation: Look for bearish candlestick patterns (e.g., shooting star, bearish engulfing) at resistance.
- Target: short scalps.
- Stop Loss: Above the resistance zone, around $5368.
- Breakdown Below Support:
- Entry: Sell below $5300 if the price breaks the support level with strong bearish momentum and increased volume.
- Target: Initial target at $5250, followed by $5200 and possible $5100.
- Stop Loss: Above $5368.
News Events Coming Up To Watch
Consumer Confidence Index (May 28, 2024): This indicator reflects consumers’ economic optimism and can significantly impact market sentiment.
ADP Employment Change (May 29, 2024): This report provides insights into private sector employment trends, often viewed as a precursor to the official employment report.
GDP Q1 Revision (May 30, 2024): The second estimate of Q1 GDP growth, which can influence market expectations about the economy’s direction.
ISM Manufacturing PMI (May 31, 2024): This index measures manufacturing sector health, offering a comprehensive overview of economic activity.
