Wednesday, April 08, 2009

New Range Estimate

Here is a five minute bar chart of the last two e-mini day sessions. I am revising my range estimate to 811-831 for today's day session (dashed green rectangle). I bought one unit at 813.75.

The rally from last night's low at 802.25 to this morning's high of 821.50 was big enough to indicate that the low of the reaction from 848 is now in place. Given this hypothesis it made sense to be a buyer near the lows of yesterday's daytime range.

Weakness below 810, especially on increasing volume would mean that the market is headed back to 803 again.

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