This is my daily preparation for S&P futures (ES) trading and it is for your educational purpose only and definitely cannot be considered as financial advice. There is a substantial risk in derivative trading and it might not be suitable for you. Don't rely on past performance as it is not indicative of future results.
Today I will mainly aim to get in tune with the market after a long weekend and will try to avoid any unnecessary trading. The market will be also in the expectation of FOMC Minutes in the afternoon and most volume and movements are expected to occur towards the end of the day, while during the first half of the day I would expect lower volumes. As a result in case of trading I will keep my stops and targets as low as possible and will focus mostly on risk management.
Considering pre-market hours most levels that were relevant on Thursday (06.29) and Friday (06.30).
Based on this I expect the market to perceive 2429-2432 as major resistance level. At the same time, it has a good potential to perform as a major magnet for today's trading before release of FOMC Minutes.
In case buyers will fail in this area, the major target is expected to be shift down to the range 2419-2415, prices, where most volume occurred on Thursday.
In case market will break these ranges up or down before FOMC minutes I will stop trading for Today.
Important factor to consider is that, after the 2429-2432 range was broken downwards last Thursday and market bounced back from 2402.25, a new high volume area started to occur just below this range between 2423.5-2427 prices. This might be a signal that sellers became more active and short positions started to accumulate here.