ES Futures and SPY Newsletter for week of November 27th

Good evening! I hope everyone had a great thanksgiving! I’m going to make this post a bit brief as Ill have much more for you all after we see tomorrow’s action and get some ideas of how the market is setting up for the week ahead.

Some notes to get started:

We have currently closed 4 weekly chart bars in a row - all strong, from 4150 to Friday’s close of 4568.25.

One other note: you’ll see from the bodies of the candles from August - present have not been able to close OVER that 4570 area.

This has been a significant runup, but as we always say, its not a short until its a short. We are trending on all time frames currently to the upside still. Trying get ahead of a reversal is the most expensive mistake in trading. We will continue to trade with the trend until the trend is broken, reversed, and confirmed.

Levels to Watch This Week:

As mentioned in last weeks newsletter, we had a resistance / breakout level thru 4535

The following day 4535 (prior resistance), became support and 4555 became resistance

We are yet to re-test 4555 and see if it can find support. That will be a level to watch carefully if we test it tomorrow. Pay close attention to see if bids show up and if it finds buyers around that area.

If doesn’t appear to hold or find bids there, let it re-test towards 4545 and see if we find some buyers there with a proper intraday setup for a bounce play, and of course the big level down is 4535.

If we complete this multi day bear flag and take out 4562 area (reversal on the 4HR chart AND breaking Fridays lows), it could bring in some sell pressure.

Like we said earlier, almost every reversal attempt in this market has been a liquidity trap getting new shorts in only to squeeze them higher. Ive been more interested lately in buying the big levels on these reversals and catching the bounce until we see much more confirmed downside action - but that is a big level to watch tomorrow.

If we do break 4562, the next level down is 4555 (which it could bounce off), if it does would want to see a lower high confirmation at 4562 and then the next levels down from there are 4545 and 4535.

There are a lot of big levels below so shorting is not easy in a bull market like this. Ill be watching for trades on both sides, but always watching for bear trap long setups off the big levels rather than being first to the scene on the short side.

Just a reminder - this is the last time we are EVER going to have 50% off at Livestream Trading!! So, if you want more than a semi weekly newsletter and want to dive into daily recorded webinars with more detailed trade plans for each day, live streaming, live trading, chat room community, and much more, please use coupon code: BLACKFRIDAY to get started with our team!

Ill have some updates for you all this week - trade well and be vigilant out there!