ES Morning Update January 15th 2021

0
2242

For the first time in many days the DOW closed under the 31,000 level, and is set to open below it this morning. It's a crack in the armor of the bulls I'd say, and some small victory for the bears. The rising purple trendline is trying to hold the ES futures right now but overhead moving averages are rolling over putting resistance on it, so I don't think today is another "buy the dip" open. Upside is very limited right now.

However, today is the monthly option expiration and we all known how manipulated those periods are. The levels with the most open interest on the SPY are 380 (about 3800 SPX), 375 and 370. So if the bears really got control here and started pushing the market down then those 3750 and 3700 SPX areas could come into play today. I'm not expecting it, but then again, it's hard to see the exact day the market tops and drops hard. It could be today, don't know?

Technicals would certainly support a fall off a cliff move today, but OPEX day and the manipulation factory might stop that from happening. I'm still holding my shorts and don't really have any plans to exit until I see some large drop happen, or the 20th pass and it's a non-event. It's more typical that the market will front run any important date, and since we'd not dropped hard the market is acting as if Biden is going to be the next president. Just five more days left for the world to find out. Have a wonderful weekend and fear not as God is in full control.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Loading Facebook Comments ...