Morning Insight - SPX / ES

8/27/2024 - Tuesday

Aug 27, 2024

Good morning, Traders!

Yesterday was quite a day! We hit our weekly resistance at 5668 and our longs played out perfectly at the 5626-28 area near the weekly POC. Despite this, prices dropped toward the end of the day and have been balancing at the lows overnight. While it seems like we're trending downward, we aren't fully bearish yet—though it’s starting to look that way.

There's one crucial level we need to hold for the S&P 500 to have a chance at moving back up: the 5598 level. If this level holds and we can get back above 5607.75, we could see some upside action. There's an untested 4-hour level at 5655 that includes a number of single prints needing to be filled, and I'd expect a reaction there. Right above that is 5661, an untested daily level, which should also be monitored closely.

Today marks our fourth inside day in a row, so be extra cautious—these days can be tricky. Let's stay sharp and conquer these markets!

Have a great trading day, and cheers!

Ryan Bailey
VICI Trading Solutions