S&P Edge (ES) Daily Trade Plan: FOMC Volatility & The 6861.75 Pivot
A detailed ES & VIX plan for Dec 10th, breaking down the 6861.75 resistance setup, the fragile 6832.75 support, and the 17.21 VIX pivot ahead of Jerome Powell.
Scheduled News:
Options VOL Levels:
Good morning everyone. Today is December 10th, it is Wednesday.
If you were a follower of the trade plan yesterday, you had an incredible day. We had the high of the day short at 6872.00, which led us all the way down into our lows from Monday in the overnight session at 6835.00. This was an incredible short setup off of our Daily/Monthly level—it was actually in the title of our trade plan.
Now we have a big day today for FOMC. As usual, today is a day to exercise caution and try to get whatever trade you can get in before the 2:00 PM meeting. Volatility will increase to insane proportions once Jerome Powell starts speaking, and it is in your best interest to let this simmer down until tomorrow.
A Note on Today’s Market:
Range: We come into the day with a 24-point average range and have already moved 25 points. We have approximately 20 points left in the tank pre-FOMC.
FOMC: I expect them to blow this average out of the water either up or down (or both) after the minutes.
Volume: Relative volume is +14%, so we should look for some participants to partake in trading this morning.
🧠 Current Market Context
We continue to move lower in the overnight session as the 4-Hour continues to show some signs of weakness after yesterday’s incredible smack. Support is very thin directly below us, making for a very difficult trading session to the long side. However we just Swept the low from Mondays session grabbing liquidity as we sit back in yesterdays value area and range.
