Daily Review – 11/5
Good day today. Levels held up, ISM took out some levels, new levels formed, can’t ask for much more than that. Below are today’s charts and how they held up to the levels I posted last night. Enjoy!
Basic trend down day with little rotation. First level of 94.27-.17 really had no chance, but a break/retest was a possible short setup. Even if a level does not hold, they are often still valid areas to trade from since demand becomes supply and supply becomes demand. There wasn’t much to do here today until we reached a major demand level from earlier in the year, and this is where multi-time frame analysis comes in handy. Taking a look at 1 and 4hr charts reveals a level from 93.21-92.86, and being a major level, I expect a decent bounce from here. As of writing this, we are +50 ticks from this demand level.
Simple setup here today. Held the 1762.5-1764 supply level during the globex session for a 10pt+ short. We didn’t quite reach the 49.5 demand level, and overshot a smaller level during the ISM non-mfg #’s at 10am. The test of 62.5-64 created a new supply level at 62.25 which market the top for the day…always remember, levels are dynamic. We expected the possibility of a gap down today due to a quick shift in the put/call ratio last night, so this was a lay up today.
Held the 3357.5-3361.5 level on the open for 8-9pts and then broke through it on the ISM #’s at 10am. The fact that we were in this level when the #’s came out means I sit on my hands. Had we still been 5-10pts away, this level probably holds and doesn’t overshoot. Either way, took the first trade and didn’t do much else here today.
Another level fell victim to ISM #’s. However, we did create a supply level from 1312-1313.5 that held for the rest of the day. Didn’t trade anything here today, waiting for a better setup.
Good day of trading, but this is fitting for what ISM did to some of our levels