The futures generated a robustly bullish impulse leg before the final bell on Friday, although the pattern shown looks like it will need a somewhat lower point ‘C’ to become tradeable. For the time being we can use the A-B leg shown to project a rally target in the early going on Monday. If the futures should pull back by a few points to start the day, my gut feeling is that a conventional entry at the subsequent ‘x’ will produce a winning trade. _______ UPDATE (Mar 5, 10:14 EST): The futures opened on a gap down Sunday afternoon, but the lower point ‘C’ this produced did little for us. If you entered ‘conventionally’ at X, the subsequent rally to p=2687.50 would have allowed you to take a partial profit there and lower your break-even to 2674.00. When ES dipped below that price you’d have been stopped out five hours after initiating the trade with a loss of perhaps a tick or two on each of two contracts. As of the moment, my short-term bias is bearish, based on the 15-minute chart where A =2721.75 on 3/1.
