E-MINI S&P 500. Supply and Demand Zones
On the daily chart, the price has returned to the current range (gray line) and touched the buyer's zone at the lower boundary of the range. Over the course of 7 days, there was accumulation at the upper boundary of the range, and the short vector 6-7 in the daily range has played out. However, the buyer has not shown significant activity after touching their zone.
On the hourly chart, the price played out the long vector 8-9 and, with a short vector, descended to the lower boundary of the range, but it couldn't immediately break out of the hourly range effectively. This raises questions about the seller and their strength. After such accumulation at the upper boundary of the daily range, it would be desirable to see an effective breakout of the lower boundary of the hourly range and then the price at least at the level of 4277 (the lower boundary of the daily range).
A long trade can be considered if the price returns above 4351 and is defended by the buyer at this level. The goal is to play out the long vector up to point 9 of the hourly range (4423.25).
A short trade can be considered conservatively if the price is anchored on the hourly chart below 4330.75, with the goal of reaching the lower boundary of the daily range (4277). An aggressive short trade can be considered if the seller defends 4340.75.
Good luck with your trading!
Disclaimer:
This case study is for educational purposes only and does not constitute investment advice or recommendations.
The trading or investment ideas presented here are for illustrative purposes only and are an integral part of a case study demonstrating the concepts of using volume to analyze or trade within the market scenarios discussed.
On the hourly chart, the price played out the long vector 8-9 and, with a short vector, descended to the lower boundary of the range, but it couldn't immediately break out of the hourly range effectively. This raises questions about the seller and their strength. After such accumulation at the upper boundary of the daily range, it would be desirable to see an effective breakout of the lower boundary of the hourly range and then the price at least at the level of 4277 (the lower boundary of the daily range).
A long trade can be considered if the price returns above 4351 and is defended by the buyer at this level. The goal is to play out the long vector up to point 9 of the hourly range (4423.25).
A short trade can be considered conservatively if the price is anchored on the hourly chart below 4330.75, with the goal of reaching the lower boundary of the daily range (4277). An aggressive short trade can be considered if the seller defends 4340.75.
Good luck with your trading!
Disclaimer:
This case study is for educational purposes only and does not constitute investment advice or recommendations.
The trading or investment ideas presented here are for illustrative purposes only and are an integral part of a case study demonstrating the concepts of using volume to analyze or trade within the market scenarios discussed.
Good luck with your trading!
