As WTI oil hovers around its 8 month high and softness across the commodities, stocks have taken on a bearish tone overnight. Today is contract rollover for the ES; Sep 2016 is now the front month. However, expect most trading volume to be on the Jun 2016 contract at least for today. The last few rollovers, volume shifts to the front contract by Friday morning. Rollovers screw with volume at price as trading is divided between the two contracts. Expect some price whippiness allowed by the lighter volume. The ES has been consolidating for several days now, so we can expect some sort of breakout. A move to the downside would be bigger than a move to new highs. Size bias is short into this morning’s 8:30am EST Claims.
We’re posting 2 trade plans today; one for the ES June 2016 contract where most trading volume will take place today and the second for the ES September 2016 contract.
ES June 2016 contract:
ES September 2016 contract:
Sorry, the comment form is closed at this time.