LIVE Gold Prices $  | E-Mail Subscriptions | Update GoldSeek | GoldSeek Radio 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

COT Gold, Silver and US Dollar Index Report - July 10, 2020
By: GoldSeek.com

Gold & Silver Seeker Report: This Week in Mining Issue #21 - Financing's Galore, Early Q2 Production Numbers, and Go
By: Chris Marchese, Chief Mining Analyst at GoldSeek.com

The Silver Pressure Cooker
By: Ted Butler

Gold Stocks Blast Higher
By: Adam Hamilton, Zeal Research

Banking on a Bluff: The Biggest Gold Scam in Modern History
By: Marin Katusa

Epochalypse Now: How Deep is Your Depression?
By: David Haggith

Stock market update: good time to be on the sidelines
By: Gary Savage

Precious Metals Update Video: Gold market a crowded trade?
By: Ira Epstein

Is it Time To Dump Gold Stocks?
By: Brady Willett, FallStreet

How High Can Gold Go in 2020?
By: Sam Laakso, VOIMA GOLD

 
Search

GoldSeek Web

 
Grinding Higher $ES


 -- Published: Tuesday, 2 June 2020 | Print  | Disqus 

Ricky Wen, ElliottWaveTrader

 

Mondayís session was an inside day within a potential inside week/high-level consolidation context. Basically, the regular trading hours (RTH) session was confined to a 3059-3027 range on the Emini S&P 500 (ES), which is about 1%. In addition, as you may be aware by now, the average range per day has been narrowing for the past few weeks due to this methodical grind up and slower momentum when compared to Feb-April 2020. As previously discussed, the recent action is very similar to year 2019 as weíre seeing flashbacks from all the market tendencies of the easier overnight grind up and then chop around during RTH. (Nowadays, most gains have been made during globex vs RTH, hence easier setups during the overnight.)

 

The main takeaway remains the same from the end of May given that the bulls accomplished their key goal by ending the May monthly closing print at the dead highs in order to enhance the odds for upside momentum. The bulls did what they had set out to do since April because itís been an on-trend upside breakout back to the 61.8-78.6% fib retracement of the entire drop (3397.5-2174 range). As discussed, the bears ran out of time as they failed to capitalize on all breakdown setups and the bull train has been on an accelerated phase riding the daily 8EMA upside alongside with price action hovering above the 200 day moving average. All this is buying time for things to catch up and elevate even more by resetting price action, internals and momentum.

 

Whatís next?

Monday closed at 3053.3 on the ES as an inside day around the range high area of the past few days. The overnight produced a decent long setup in the 3035-3040 region for the higher-lows and higher-highs play as the overnight bulls hit a high of 3075.5, which is just under our key level 3078.  So it means that price action has been acting very methodical lately during the globex sessions.


Key points in our game plan:
  • For now, the 4-hour white line projection from last week remains king given the high-level consolidation/grind up towards 3135 target.
  • Our intermediate target is now confirmed at 3135 when price action remains above 2947.5 and specifically when above 2990s due to immediate momentum.
  • Friendly reminder: the past ~18 sessions, the overnight globex session has showcased better/easier setups than the RTH duration so traders must be aware of the current environment when trading.
  • Zooming in, treat 3000-3050s or 3000-3060s as a high-level consolidation/bull flag structure. Buy near support and donít get caught in the middle because the edge becomes low. Wait for the eventual upside breakout towards 3135 if price action continues to remain strong.
  • When above 2992/3000, the bull train is in an acceleration phase on the daily trend chart.
  • Conversely, a massive breakout failure/trap would be considered if price action falls below 2992 and then close below 2947.50 on a daily closing basis.


Ricky Wen is an analyst at ElliottWaveTrader.net, where he hosts the ES Trade Alerts premium subscription service.

| Digg This Article
 -- Published: Tuesday, 2 June 2020 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2019



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer


Map

The views contained here may not represent the views of GoldSeek.com, Gold Seek LLC, its affiliates or advertisers. GoldSeek.com, Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, Gold Seek LLC, is strictly prohibited. In no event shall GoldSeek.com, Gold Seek LLC or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.