S&P 500 Spring plus a test with higher upside — Daily Market Analysis

“US economy will claw its way back from the current pullback.” Federal Reserve Chairman Jerome Powell said in “60 Minutes” by CBS. He also warned that a full recover might not be possible until a vaccine for COVID-19 is completed. As of the current London session, S&P 500 jumped 40 points to 2890, which is right within the resistance zone 2890–2910.

Check out the video for a complete walk through of the daily market analysis of S&P 500 futures (ES) for 18 May 2020 trading session. In this video, I am going to show you the market recap on the last session including trade review in M3 (entry, exit and the rationale behind) relying on a spring setup 9 minutes after the US opening, the bias going forward, the key levels to pay attention to, and the potential setup for the US session later.

15 May 2020 recap — 2 hours prior to US opening, S&P 500 formed a down-sloping range in M3. This down-sloping range was considered as a test of the last hour bar, which was key area as mentioned in my daily market analysis video on last Friday. During the first 10 minutes of the opening, S&P 500 had a spring of the localized low followed by a reversal bar, which was a nice long entry.