Tag Archives: prominent point of control

Four Day Balance Ahead Of Monthly Jobs Data

The S&P E-mini is trading in a four day balance area heading into Friday’s monthly job report. Market Profile balance trading rules could apply:

1) Remain within balance
2) Look above or below balance and fail; on a failure the opposite extreme becomes the destination trade.
3) Look above or below balance and accelerate; these events could target directional reference levels.

Acceptance on either side of the back to back, very prominent points of control at 2272.50/75 could provide early directional clues. Trading at the point of control (fairest price) before attempting a breakout of balance should increase the odds of continuation from a breakout, failure to first trade to the prominent POC might result in a failed breakout attempt.

While there is now significant excess at the all time pit session high at 2296.50 on both the weekly and monthly bar charts, there is only four ticks of excess on the daily profile chart on the day it was created, it is also a poor high, at two TPO’s wide.

Additionally the all time 24 hour high, made in an overnight session, is at 2298.50, two ticks shy of the psychological 2300 level. To date, all time highs created in the Globex sessions have always been revisited during regular U.S. pit session hours.

(the above post and all posts on es-traders.com is an interpretation of market generated information using the Market Profile, and the information contained within is to be used for informational purposes only and not to be construed as investment or trading advice. Please read our disclaimer

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Inside Day, Prominent Point of Control in S&P E-mini Market Profile Chart

Less than a seven point range in the S&P E-mini to begin the week:

An inside and balanced day, Monday’s profile left a poor low with just one tick of excess at 2263.50 and a very prominent point of control at 2267.25. Price was not accepted back into Friday’s upper distribution above 2271.00.

Market profile balance trading rules could apply on Tuesday, depending on where the market opens – look either above or below the one day balance and accelerate, look above or below the balance and fail, or remain balanced. Acceptance above 2270.25 could see price attempt to repair the January 6th poor high at 2277.00, which is also the latest new S&P E-mini futures all time pit session high.

A breakout from either side of Monday’s narrow range should have better odds of continuation if price first trades to the very prominent point of control at 2267.25.

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