It was a trend up day after yesterday's down ward gap fill. It looks like a short term bottom was put in yesterday. I expected ES to test Fib 62% RT as this morning's price action acted like a trending type. I thought there would be a strong reaction by sellers after Fib 62 and gap filled. Therefore my action was selling calls. All of my call selling were filled before lunch. Buyers kept the price up between 1650-1654. It appears that my entries were too conservative. ES may test 50 SMA and Fib 78% tomorrow and stay in mid waiting for Friday's job report. Or it could come back to test BBM and Fib 50% which happen to be lined up. I need to manage my risk of 1680c in case a poor job report drive the market up to close the higher gap.
I missed some bigger picture context today regarding the potential of the up move. I put more weight in Syria risk of drop the market. It appears that I was a little over confidence of the market's short term bearish condition. I loaded call sells almost in full for the next two weeks. I may adjust my bearish positions and obey my rules.
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