ES - Into 2022

18 ธ.ค. 2021

At this juncture, dividing the ES / SPX / SPY into two separate and
distinct Durations will be useful.

For simplicity's sake, Settings Indicators are different for both arrays:

Short and Intermediate-Term Structures

The longer-term Structure for 2022 will be within the following Chart.
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Shorter Term we have seen extreme Volatility. - ES 140+ Tick reversal.

Many indicators collapsed as the Fed Rotation Trade ended up a One Day
Event prior to the DOW / INDU / YM losing 500 Ponts on Friday.

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Presently we see the Momentum Cloud being violated into a large
Range - which is indicated by the 4500 Trend Cloud Low to the Momentum
at ~4650.

The Overthrow Channel is Magenta in color as the Leading Ledge continues
to struggle at these Levels on Close.

SMAs are beginning to compress again and although they have not crossed, the
potential exists.

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For the prior Low @ 4492 has the probability of being exceeded, although
Price can trade down and then back up into a Sideways Range at year-end.

WIll the Operators use reduced Liqduitiy for additional Higher Entry and
Distribution... or will it create a Larger Decline.

Both are possible, to what extent - Only the Trend Cloud Breaking @ 4500
and moving to and through 4492 indicates Lower.

The Flip Side for Price is the symmetry - H & S completing its structure into
January prior to Wave 3/5 taking us lower.

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There are a number of discussion points to consider for both the Short
and Intermediate Durations. - Overall Weekly/Monthy Structures (which are
extremely Negative) / How the Fed's New Reality unfolds / Distribution Patterns /
GAMMA / DELTA -Levered Positions / Yields / DXY / Liquidity SUM / Instability /
Corruption / Failed Rotations / Precious Metals / Energy / Commods / Macro
Deterioration / Unseen Risk / Fiscal & Monetary Timeframes.

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There is much to discuss as 2021 winds down.

Friday had the appearance of a "Hold" for Monday, indicating we could see a strong
move down for Monday as 4X Expiry squared.

Risk and VX were very loosely correlated last week, with VX underperforming to a
slight degree/amount.