February 1st, 2024
Back to mean reversion. Yesterday’s close triggered a new sell zone in ES. I am now looking to sell rallies as long as we have daily closes below 4919, with my target set at 4837. I will be looking to sell rallies intraday and put a swing short position on in ES, as long as we don’t get above 4919. If we do push above 4919, I will no longer be short.
The NQ has also triggered a new sell zone from 17,598, with a target of 17,100. The NQ is something I also favor to the short side today, both for swing positions.
Be nimble and be small. Expect the market to challenge the upside today, but ultimately I think the sellers are in control for now.