Down first, then up?
A classic bull flag had a false breakout overnight. Price has fallen back into it and retested the upper channel, failing there too.
The 50DMA is at $ES 3830-40, and it's entirely possible we revisit that level between now and the FOMC announcement tomorrow afternoon.
Following that, if the bull flag plays out completely, upside potential is all the way up at $ES 4000.
The downside is also likely as participants seek event protection and bid up volatility, after which vol is crushed following the event (regardless of the outcome).
The 50DMA is at $ES 3830-40, and it's entirely possible we revisit that level between now and the FOMC announcement tomorrow afternoon.
Following that, if the bull flag plays out completely, upside potential is all the way up at $ES 4000.
The downside is also likely as participants seek event protection and bid up volatility, after which vol is crushed following the event (regardless of the outcome).
Transaction en cours:
Now en route to 3830-40 zone as participants seek protection (put hedges) and bid up vol
Trade fermée: cible de profit atteinte:
Hit 4000 target, further upside to 4030-4050 is possible before pullback