The Cloud Trader: Morning Update for Monday, May 19th

Major Support/Resistance Levels- ES

Daily Outlook

Prior Day Market Sentiment:Bullish
Overnight Inventory Change:Net short
Inside Day/Outside Day: Inside
Location of price relative to market profile: At value area high
Notable overnight futures markets changes:
Up: SI (Silver), NG (Nat Gas), PA (Palladium), PL (Platinum), GC (Gold), CL (Crude Oil)
Down:ZO (Oats), ZC (Corn), ZW (Wheat), CC (Cocoa)

News for the day:

**NONE**

*Red highlight means the news is a market moving event;
yellow highlight means the news merits attention

Projected ES price action for the day: Just when the bulls made a run at continued new all-time highs, the bears sold the markets back into the high volume composite node. As reviewed in the weekly video, the all-time highs were made on low volume, a sign that the market makers bought up the markets on a head fake, only to sell the contracts back into the zone. Any activity inside of the 1840-1880 range has a higher probability of two-way trading and should be traded more cautiously until a breakout of the range. The profile has displayed parallel value areas on Thursday and Friday which means that the S&P had found a level of support after the gap down from Thursday. Intraday edge is neutral/bearish.

Stock of the Day: DirecTV (DTV)- Announcement of AT&T purchasing company