ES review & plan

The above 240 min chart shows the current area of balance we have been trading in since the Aug 23rd low. The rally from last week has pushed through the value area and so far holding above it. The rally has left behind gaps and poor structure in regular trading hours, but we may still push above yesterday's highs before we see an attempt to push back inside value - 1990.75 target (composite LVN) above.

Yesterday saw a drop in ES volume at 1.67m contracts, though underlying share volume was strong at 4.3bn turnover on NYSE and very strong advance/declines. 

Overnight the range is currently 1963.50-1975.25, inside yesterday's value. If we see failure at yesterday's VPOC after the open, I'm expecting a move through the overnight low and attempt by sellers to press lower into the gap. If the market can push and hold above yesterday's VPOC I'm looking for a first target at 1985.00 ( 09/17 nVPOC), then 1990.75 (composite LVN).