Power Hour Update for Subscribers
Key Levels Into the Close
📉 Power Hour Update for Subscribers
🔥 Bear Trap or More Downside? Key Levels Into the Close
The market attempted to rally off our 6030 ($ES) and 21405 ($NQ) levels, but buyers couldn't hold the momentum. The initial support at 5975 ($ES) and 21300 ($NQ) looked promising, but ultimately, it was nothing more than a bull trap before price rolled back over to the lows.
Now, all eyes are on the daily close. If sellers manage to close below 5975 for the second consecutive day, it signals that downside momentum remains intact.
📊 Power Pivots & Market Structure
🔹 $ES Power Pivot: 5957
🔹 $NQ Power Pivot: 21110
These pivots are our intraday balance points—sustained trading below them keeps sellers in control.
📌 Key Levels for the Close
🚀 Upside Reversal Scenarios
✅ $ES 5975 & $NQ 21130 → Holding above these levels into the close could give bulls a reason to try again tomorrow.
If buyers reclaim 5995 ($ES) & 21300 ($NQ), then today’s sell-off might have been another shakeout.
Watch for a squeeze attempt back toward 6030 ($ES) & 21405 ($NQ) in that case.
❌ Bearish Breakdown Scenarios
🔻 $ES 5935 & $NQ 20971 → A breakdown here means we could see even deeper selling.
If the market closes below 5975 & 21110, expect more downside follow-through tomorrow.
A move below 5935 & 20971 could trigger another liquidation event.
📚 Market Education: Bull Traps & Failed Rallies
A bull trap occurs when buyers believe a bottom has formed, only to see price quickly reverse lower, forcing them to sell at a loss.
🔎 Signs of a Bull Trap:
1️⃣ Price initially bounces from support but fails to hold key resistance levels (like today’s rejection at 6030 & 21405).
2️⃣ Buyers hesitate, and volume decreases on the move up.
3️⃣ A sharp rejection wick or rapid sell-off follows, trapping late longs.
4️⃣ The breakdown accelerates, forcing stop losses to trigger and fueling further downside.
Key takeaway: When a bounce fails to reclaim key levels, it’s often a warning sign that sellers are still in control.
📍 Final Thoughts – Watching for a Second Consecutive Close Below 5975
✔ Sellers remain dominant, pushing the market back to the lows.
✔ A daily close below 5975 ($ES) and 21110 ($NQ) could keep the pressure on into tomorrow.
✔ Buyers need to reclaim 5995 & 21300 to stabilize the market—failure to do so means more downside.
⚠ Stay disciplined and wait for confirmation. These markets are punishing late entries.
Let’s see how we close! 📊📉