ES Levels and Analysis 8.6.25
Welcome all my new subscribers! Thanks for tuning in and subscribing :)
For those who are new, I use Fibonacci Sequences as the core of my analysis. I do implement both mechanical and contextual levels (from market profiles) in my analysis. I typically use mechanical levels to identify potential areas of support/distribution.
If you do enjoy my posts and want to support it by liking it, that is greatly appreciated!
(sorry I been a little MIA)
Market recap:
We ran into some distribution at the highs last week, followed by a sell off. About 230 points down from the high.
It looks like there was a mean reversion at about 6239, followed by an impulse move higher. we run into a bit of distribution again at this 6381 level.
We are currently holding a traditional out of the lows, which traded 6319.
The orange lines are POC, so we see that value is being established higher.
Going into tomorrow
As we come back into this 6381 zone, you can see that price is accepting and value is being established at this higher price. My bias is kind of neutral, I dont see a clear trend established, and we do have some untested areas of supply above us.
I will be looking for some pull backs for a continuation higher, ideally 6351-6358, to maintain this current trend. I have some targets above at 6392 and 6401.
Zooming out into a higher time frame series, you will see that we do have some untested levels of supply above us.
Untested levels of supply carry the potential for distribution and that is where the nuance is important. If we do have a bit of a pull back before making a drive higher, this gives us opportunity to add some momentum to push through these levels.
Upside targets dont necessarily mean to go short either. As we approach these premium zones, you will want to react and use your discretion when making trade decisions. It is just to proceed with caution chasing longs/shorts as we approach premium / discount zones, since these areas carry high potential for mean reversion.
We are currently still inside of a higher time frame long series, and in my opinion, it does look like the market seems to be balancing out.
Levels
Hold above 6340 for continuation higher.
Break below 6295 to open up lower targets.
Downside targets
6351 | 6317 | 6307 | 6265 | 6226 **
Upside targets
6401 | 6413 | 6452 | 6469**
** under extreme buying and selling pressure**
As always, trade safe. Exercise caution, and do what you can to minimize risk.