FX.co ★ sudheerkumar | New wave of futures

ES Futures: Watching 7,738–7,742 for Shorts and Monthly Support

Two areas of interest on ES today, with the reaction at each zone determining whether a trade sets up. Potential short - 7,738–7,742 Above us, we have a cluster of references: • pdVAL at 7,738. • Yesterday’s A-session POC at 7,740. • pdEQ at 7,742. Should price retrace into this zone, we’ll monitor for rejection and a possible short. We want to see sellers defend the area before considering an entry. Acceptance above the zone would weaken this setup. Potential long - Previous month’s value area low around 7,641 Below us, we remain interested in a potential long around the previous month’s value area low, with the single print fill providing additional confluence. Ideally, we’d see price sweep the series of lows formed on Friday 23rd and Monday 26th, taking the liquidity beneath them before reacting from this area. A reclaim following that sweep would be the behaviour we’re watching for when assessing a possible long. Both zones are areas to watch. We’ll wait for price to reach them, assess the reaction, and only act if the setup develops