What you need to know
ES1 (SP500 Generic Front Month) – 7.10.23
*Price action for Friday’s session found the Index falling within Thursday’s range as it achieved a lower high and a higher low. The close came at 4434, below the 10dma (ref 4441), as momentum (M1, M2) degraded further. This action was expected. The pre-cash low so far this morning is 4411 as the Index continues to work away from 4500 resistance and test near term support at 4400. Price is fading with confirming momentum as the VIX has seen a recent trough to peak spike of over 30% hitting a high of 17.08 on Jul 6. Based on the current set up I continue to believe risk is to the downside with a break below 4400 and a test of 4300 ahead.
Trading Support:
- 4400: 10dma at 4441
- 4300: Previous Resistance
- 4200: Previous Resistance; 50dma at 4286
- 4100: Key Level; Previous Support/Resistance
Trading Resistance:
• 4500: Previous Resistance; 76.4% retracement level
