Today was all about recognizing it was a down trend day and getting short. On days like today, it doesn’t matter how or where you get short; trend days almost always end near their extreme so all one needs to do is hold on. It’s days like today that a lot of money can be pulled from the markets. The Asian session set the tone long before today’s US session by erasing yesterday’s bullish attempt to climb back into 27/45 range where the ES has been playing most of the year. All morning long, I posting the morning downtrend line in chat and the ES bounced off it four separate times. That was four opportunities to look for a short entry. Almost every pullback before and after the lunchtime consolidation had institutional players selling, clearly evident on the MarketDelta footprint charts and on the Jigsaw DOM.
Volatility was very high which provided plenty of small target fading opportunities for the adventurous, but why fight a strong trend. If it’s obvious, then use it.
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