Hi Blaster,
of course ES will fall again. But only after the Triple Witching Day, 2019/20/09. Nevertheless, this was no negative criticism of you, but only one tip that as long as contract-poc still lies at 2925, big boys aren`t interest in falling prices. I expect after the change of contract next friday, ES and the whole markets will go down.
Poc means point of control.It is simply the price at which the largest trading volume has been made over a period of time (buy/sales).
This point is a rare point in the market because it is an indicator that can be observed before and not exactly when the price change occurs. Most indicators say “here is the point where the price is about to change” but few can say so far in advance where the price will go. Therefore it is very useful data besides easy to calculate. It does not carry complicated mathematics like oscillators.
The Control Point (
POC) can be viewed as a sort of center of gravity towards where the price is going to move. These also allow to optimize the stops from previous data of the market.
Triple witching is the quarterly expiration of stock options, stock index futures and stock index
option contracts all occurring on the same day. It happens four times a year - on the third Friday of March, June, September and December.
Triple witching days generate trading activity and volatility because contracts that are allowed to expire may necessitate the purchase or sale of the underlying security. While some derivative contracts are opened with the intention of buying or selling the underlying security, traders seeking derivative exposure only must close, roll out or offset their open positions prior to the close of trading on triple witching days.
Triple witching days, particularly the final hour of trading preceding the closing bell which is called the 'triple witching hour', can result in escalated trading activity and volatility as traders close, roll out or offset their expiring positions.
The poc of contract is at 2926, the monthly poc is at 2979,25 and the weekly poc is at 3017 at the moment. All these pocs are changing. The daily one can change several times a day, the weekly two or three times a week and so on.
I think the markets will go down on next Friday (closing bell) or Monday, 09/23. We will see…