Channel Guy Trader: /ES S&P 500 Futures 4hr Technical Chart

Hello Traders, looking at the chart below that we annotated earlier this week, you can see we hit are support level that we were watching around 1308. That should serve as a short term support level that could get us to rally back up towards 1320 ( Previous support and now should serve as resistance ). If that levels holds as resistance and shows the characteristics that we look for, then we may look to get short equities again around that area. At this time I rather look to get long good name equities that sold off to support levels or looking for strong stocks forming continuation patterns that either held up, went higher, or consolidated sideways while this correction took place. I have provided you guys with some ideas below so refer to the health sector as somewhere to grab ideas from. We have not officially back tested the downward dashed blue trendline that served as resistance. Usually we should see some type of retracement, but if market is strong like most expect then a higher low without a back-test just shows more prove of the underlying strength. These commodities have pulled back kind of hard, but I think on any down move on them tomorrow should be good intraday reversal opportunities. I like APC as an idea to look for an exhaustion sell off and intraday trade/scalp bounce. We are still chopping around the 200 Ema on the 4 hour chart also around 1310 on the /ES. If that breaks than I think that we will go down there towards 1296 and touch that area which also coincides with the right shoulder target low. Let these levels marinate and look at the chart below for a visual. Enjoy !!