The daily chart shows us that we met our support at previous resistance (for many weeks) at the 807 level. We dipped a little below, but no follow through and buyers snatched up the opportunity to grab ER contracts at that low low price! I’d look for price to have trouble breaking down through there, and if we do find ourselves into 804 land, then we’re back to some rangebound (20 points or so) trading.
For our Market Profile guys and gals…there was a nice double distribution day on Friday. A couple areas to watch in the coming week…798.9 which is a
VPOC and also a psych level at 800, and 786 (another
VPOC) if we head down there. We may be in for some more upward momentum as people could be feeling it’s a good value at it’s current price.
We are still outside of the monthly
value area to the upside. Interesting to note is this…the 2 low volume nodes of 805.3 and 814.4 provided some great levels recently for support and resistance. What is
VAL for today? 805.6…..So if price happens to come down there again, look for more buyers to quickly bring it back to 809-811. This could happen over the next couple of days, provided we don’t, for some weird reason, come down and start filling that vacuum. If so…801.8 is monthly
VAH and 794 is monthly
POC and the high volume node.
Larger profiles are great to see a bigger time frame and where we might be heading. 814.4 is going to be a tough contender for a resistance level today (I assume we’ll see it today as price is at 811.80 right now). With the amount of range ER is having lately, we could certainly see a rotation from 814.4 to 805.3 happen today. Something to keep in the back of you mind.