2013-03-07

$ES_F : 1530 - 1542 : Expected Day Session Range for EMINI

Forget bulls and bear. What has gone wrong with lions?

Cautiously Bearish today.

What is wrong with the lions and why are they coming after women? Recently one has managed to spoil the climax for a couple and other has managed to devour an intern. In other news, ECB and BOE left the rates unchanged and BOJ did not do more than what they are already doing. China made some noises on currency wars and dumping the garbage in the neighbours yard with wink and nudges directed at Japan. Markets are looking bit balanced today and may trade in a range and choppy before taking next move. Current tight range of 1536-1544 seems to be holding up the energy of the up move. I have a feeling we can see a peek below this range today to shake out some recent bulls. 

Today I would expect to find support at 1533-30 area and resistance in 1541-1542 area. I would be looking to see the reaction in the trading range before taking a trade. Overall I expect today to be a day of consolidation. May be I will look at various other markets or look for longer term swing opportunities. I will update the comments section as and when a trade set-up is holding.

In my hypothetical stock portfolio I am looking to balance the short position with some new longs at good levels. Recently I added MSFT and TOL and would look to complete those positions if possible.

The riding trend is still bullish and days like yesterday or today are simply consolidation in the a major trend. There is no good short set-up in play so far.