ES stayed all day above 1172 i.e. in the upper half of the range discussed on last post. We can maybe further subdivide this range in two halves i.e. to 1180 and above, but there is so little energy in (4H-) time frames, that ES is basically still hovering directionless, only sustained by underlying longer term (D+/W) buying pressure.
The Weekly chart seems close to pattern completion at last, which can however also mean further hesitation until 2nd week of november.
TF is in a similar situation, albeit possibly leading a little toward slow erosion with lower highs/lows. Just as ES ended the week just below 1180, TF closed 1 point short of the 703 pivot level. Bearish pressure is here also sluggish, hence while (2H-) players can try and sell to a 695 target in an overall directionless market, most other (4H+) traders will have to wait until 691 then 687 are firmly tested. 687 is also the major resilience level on (D+/W), which like ES could hold for at least another week.
On Fridady, EURUSD bounce on 1.382 did not surprise us as selling pressure was quite subdued. Retracement to 1.392 resistance however looked a little excessive and the late spurt of buying to (1H-) Fib while technically explainable, is not really justifyable. In case of further short term momentum on Monday, the Euro may reach (4H) Fib near 1.398 after which we will check whether this continued hesitancy is accompanied by lower highs/lows (like our indices above). (D) has so far been keeping above 1.378 resilient level and (W) despite being short term overbought, points only for a very minor retracement at best.
Other Symbol:
T-Bond Fut (@US): Bounce on (D) range lows, announcing a potential upward retracement (Fib), and delaying confirmation of downward retracement on the Weekly chart. Monitoring the (4H) channel is recommended.
( Posted Sat AM UK )
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