Megaphone Pattern on ES 1 Hour chart means stay clear
ES is in a battle between Bulls and Bears as evidenced by the developing Megaphone pattern on the 1 Hour. Also, consider the following
- Nearby significant round number and psychological level of 3200. A likely battleground area for buy the dip buyers and short covering sellers.
- The daily pivot S1 level is 3195.
- Meanwhile, the nearby 3214 area is the Fib 618 level between the June Low and September high. We could as easily go up OR down from here
- ES could continue it's correction to the 3112 area where the 200 Day MA awaits
Best to wait this one out until we see a clear move below 3195 for Bears or above the 1H 50 EMA at 3260 for Bulls. In between those two price points only choppy and difficult to call price action persists.
Meanwhile the daily MACD is in the red and bearish
- Nearby significant round number and psychological level of 3200. A likely battleground area for buy the dip buyers and short covering sellers.
- The daily pivot S1 level is 3195.
- Meanwhile, the nearby 3214 area is the Fib 618 level between the June Low and September high. We could as easily go up OR down from here
- ES could continue it's correction to the 3112 area where the 200 Day MA awaits
Best to wait this one out until we see a clear move below 3195 for Bears or above the 1H 50 EMA at 3260 for Bulls. In between those two price points only choppy and difficult to call price action persists.
Meanwhile the daily MACD is in the red and bearish