2013-03-11

$ES_F : 1542 - 1552 : Market Recap


Another new high - a slow certain march to all time high.

Trend remains bullish.


Market started the expiration week on front foot. The Clock change in US allowed trading to start and finish 1 hour earlier for me. Enjoyable time until end of the month. Here is 5 minute chart of today's day session.




I came in the day bullish as per this trade plan. Overnight markets were neutral. After opening slightly down on low volume markets immediately dropped to expected support zone and breached it by a tick, giving only one fill (first green arrow). The reaction was strong and hence I did not cover at gap fill. Market continued to keep the pattern of higher highs and higher lows and soon created new bull market high. It seemed to stall there for a while and decided to take profit at 1547 (second red arrow). In hindsight it was early. The comments section of the trade plan describes the trades.
So what do I see now? Market is volume less in the key resistance zone. I feel the all time high for S&P is next magnet level which is likely to be achieved. But at the same time we must not forget that this is resistance zone so a small correction is getting overdue. I expect after the quadruple witching markets might begin that correction phase. That will also coincide with some Sequester non-sense news event expected around 27th March. There is still no short set-up in play so attempting to call top is futile.

I added  QCOR to my stock portfolio. Also BBRY performed strongly today. Overall the portfolio is lightly long.

Day session range was 9 pt and overall range was 10 pt.