Inside bars on ES daily

Three days of inside bars on ES daily chart. I don't think we have seen this since April 2008. Then it faked down which was counter to the BASE BAR and then resumed up (for a little while).

Be careful with this building of energy.

NUTSNEAL

 

people are packing it in early for Christmas?

 

Volumes don't indicate that.

They are only running about 10% under the 42 day average.

NUTSNEAL

 

You think that there is a danger it could break out to the long or short side.

regards
f9

 

Also, the current BASE BAR (12/08) isn't even an abnormally wide bar. At 51.75 points it is quite a bit below the average true range of the last 42 days of 63.02 on 12/08.

NUTSNEAL

 

YES YES YES!!!!!

 

damn you are good.
You have narrowed the odds to 50/50 give or take a fake followed by a stop out.

regards
f9

 

fearless9

Just kidding.

I must admit, in this market, I am generally much happier to be short than long. But that often we do get a fake off of an inside bar break out if the initial breakout is counter to the BASE BAR direction.

I mainly trade the five minute chart but keep a pretty close eye on the action of the daily chart as well.

I know I am not smart enough to KNOW what is going to happen.

I just try to take advantage of what I view as opportunities and stay out of trouble.

NUTSNEAL

 

884.00 LOWS

Also, as we are currently approaching the lows at 884.00 of these previous two daily bars, if we can breach the tipping point (which in the ES is about 2 to 3 points below our prior support or resistence price), then we have a good chance to the down side to take a run at the BASE BAR low at 867.25. This is a decision point. Time now 2:52 Eastern 12/08/2008.

NUTSNEAL

 

Tipping Point

Just barely breached the nornal tipping point in the ES. From the prior low bar price at 884. Normal tipping point (or point of no return) would be 884 minus 2 or 3 points. We are setting right on that price. Barely breaking it.

NUTSNEAL