View a past post for an explanation of the Statistical Open Range and Spreadsheet Analysis featured in the chart above.
It does not always happen, but it is interesting when the Average Nearest Extreme of the Daily Range and its Standard Deviation act as support and resistance lines as it did Friday.
Whenever the Futures correct or react to a short term trend as defined by higher/lower pivot highs and lows, I like to confirm the move with the NYSE Advance - Decline Line. If the NYSE Advance - Decline line does not confirm the reaction move, it is usually safe to trade in the direction of the short term trend. In other words, the broad equity market rules over the futures.
Based on a 30 minute chart, the ES pivots have stayed above its 38 period EMA since May 12. Friday we got the highers $TRIN since May 12. There was definitely selling pressure Friday, but it was not enough to trade the market lower than its up trending EMA's.
The closes of the ES open pit session is staying above its two day pivot. The range of the open pit session period was lower than the previous two days Friday, but it was not a Narrow Range 4 or 7 day.
Charles
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