ES Morning Update February 5th 2016

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07a927ef-1890-4693-ad18-02bc48cacb88The NFP Report barely pushed the futures down hardly any.  This shows strength from the bulls here.

No direction clues on this 2 hour MACD but the 6 hour looks ready to turn up from around the zero level.

This mornings NFP report came out at 8:30 am EST and the futures dropped a little over 8 points... basically it ignored it.  This is a clear sign that the market wants to keep this area and not give it up to the bears.  At this point I think we saw the low on Wednesday and are about to start a multi-week rally.

How high could we go? At this point its too early to tell but 1980-2000 doesn't seem unrealistic.  But we are getting ahead of ourselves there as we are still in a bear market and the ride could be choppy with fast moves up and down along the way.  For now let's look to exit shorts this morning and look for longs.

Usually the first opening move down is followed by a bounce and then one more dip lower to make an ABC wave pattern down.  But with the futures looking so strong we might not see that happen?  We could just start right up out of the gate... so to speak.  Don't chase of course as there's usually a pullback of some kind but at some point this morning we should turn back up and rally.