Can ES Close The Week Green? June 17th Trade Plan

Markets tend to play the same tricks over and over it certainly happened today. After the May 4th FOMC meeting at 2pm, ES dipped initially, trapped bears, rallied 3%, trapped bulls, then the next day sold off violently to new lows. After yesterdays FOMC meeting it was the same script: We sold off at 2pm initially, rallied 100+ points, then today, sold off to a new low.

We were fortunate to be on the right of the rally for yesterdays newsletter, but today bulls dropped the ball and the bear case in my newsletter triggered. I wrote yesterday:

Bear case: The bear case would look just like the May FOMC meeting. We rallied 3% that day, then the next day, just melted down through every single support, not recognizing any of them. It was a major bull trap. Loss of 3720 the trigger here I’d probably be shorting 3712-15 for that leg down to 3670 then 3630”. We got to 3641.

Tomorrow is OPEX day, so I would expect volatility. In today’s newsletter, I’ll be talking some of the long-term supports, why this current area is very important, and discussing my “no greed” trade approach