ES review & plan
Friday opened well above Friday's range leading to some short covering action in the morning. The break below the initial balance low saw continuation lower into Thursday's range, which is where it settled. Buyers did step in after the overnight low was broken.
There were two separate distributions on the day, split by the single prints at 1928.25-30.50, a resistance area going into today.
Volume was around 2m contracts and 3,7bn shares on NYSE, slightly above average.
Overnight has seen weakness in Europe which has pulled the ES lower. The range is currently 1929.75-1902.25 versus settlement at 1919.25. It's a full week of economic data as you can see here.
A look at the Globex chart below shows a custom profile around the area of balance of the past month. Prices are back below the value area low and this is where we either see responsive buying step in below value or more shorts initiating/longs liquidating. The more times an area is revisited, the weaker it gets, so an important area for either side to control going into this week.