Following some initial chop, the ES rallied in the first 30 minute pit session period through the prior day’s late M period rally high at 2260.00.
One timeframing higher for the first four periods and finding acceptance above 2260.00, price failed to reach the recent all time pit session high at 2273.00 and balanced, forming a 9 TPO wide point of control at 2261.50.
A later break in I period filled in some of the excess single prints from A period, but with no continuation lower in J period the market balanced again, with 2260.00 becoming late resistance.
Thursday’s point of control at 2261.50 (two ticks below the previous point of control) could be an early directional reference on Friday, depending on where the market opens. Price acceptance above the back to back points of control could test Thursday’s high and potentially lead to a retest of the recent all time high at 2273.00.
Failure to find acceptance above 2261.50 could see the I/J period pullback low at 2252.75 tested, and possibly Thursday’s low.
Thursday was as an inside day. There is always the possibility of breaking out of an inside day balance. The odds of continuation from a breakout should be greater if price first checks in with the wide point of control from the balance. There is also the possibility of price looking above or below the range and failing, returning back into the balance, potentially targeting the opposite end.
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