Nice Value Area setups on the ES and NQ as the markets gapped up to start the week. Volume was poor, but both the ES and NQ had Value Area Plays that worked. We only posted the NQ to the Messenger and it stopped once before working. See that section below.
Net ticks: -4.5 ticks.
As usual, let’s start by taking a look at the ES and NQ with our market directional lines, VWAP, and Comber on the 5-minute chart from today’s session:
ES:
Touched the Value Area High perfectly and then broke in to fill the gap:
NQ:
Just a reminder that we use half points for ticks on the NQ and not the quarter point measurement that the exchanges switched to in recent years. This allows us to use 6 ticks as a key target as we do on the other contracts. It also keeps the value of a tick at $10, closer to the value of a tick on the other contracts.
Triggered short at A at 4027.50 and stopped exactly to the tick before triggering again, working to the first target, and then stopping the second half at the entry before crossing the Value Area:
