Tues, Feb 22

The /ES failed a daily extension long on Monday putting the pressure on the bulls. The next support for the bulls would be a full 50% retracement long at the 1302.5 level drawn from the 1262.25 lows to the 1343 highs. Bears will be watching the 1326.5s as a potential short entry on the daily time frame. If the bulls find support at 1302.5 before a retracement into the bearish setup at 1326.5 (which at that point would be 1322.75), I would apprehensive about the bearish setup. If the bears can get it done at this setup, we could potentially see deeper retracements.