Tuesday, July 5, 2011

1400 ET Tumble 07/05/11



Typically, IBM, XOM and the ES futures make similar price patterns on the 5-minute chart. I notice when one of them diverts from the other charts. As the ES futures was testing Friday's high at 1400 ET, XOM was falling. Soon after, the ES futures also fell rapidly. Several items helped the market to fall at that point,
  • Friday's high was still resistance
  • The energy market was preparing for its last 30-minutes of trading for the day
  • XOM was pushing down the market
One of the more interesting trading points to ponder today.

Charles

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