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- Monday October 13
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- Wednesday October 15
- Thursday October 16
- Friday October 17
- ESDaily Strategy - Trade Rules - Key Level Codes (New Reader Must-Read)
Sunday Evening → Monday Morning October 13, 2025
Tariffs, Fear, and the Reset I’ve Been Waiting For
The selloff changed sentiment, not structure.
Time: 9:15AM Friday - Price 6797
Time: 5:00PM Friday - Price 6552
Friday morning, the headline hit.
The administration announced a 100% tariff on Chinese goods. Over the next eight hours, the market unraveled. ES dropped more than 250 points from the week’s highs, erasing nearly every gain from September.
For most traders, the screen turned red and the noise got loud.
But this kind of panic is exactly where structure reasserts itself.
We’ve seen this movie before.
In March, when the first tariff talk surfaced, volatility exploded, the crowd panicked, and by early April the market bottomed at 4932. That washout marked the beginning of a six-month rally that carried price more than 1800 points higher.
Now, six months later, the same narrative.
I don’t chase fear.
When emotion spikes, structure speaks louder.
This selloff didn’t come from nowhere. It built slowly. I wrote about it each day…. A compression at the highs through the first nine days of October, RSI climbing but diverging, and then the break.
The verticality of Friday’s move wasn’t weakness.
It was release.
Excess optimism being cleared out in one session so the next phase of structure can take shape.
Every cycle follows this rhythm.
- Expansion
- Exhaustion
- Liquidation
- Rebuild.
What separates professionals from the crowd isn’t the prediction of when, nut rather the preparation for what happens next.
My job isn’t to guess whether we’ve seen the bottom.
My job is to read how the tape behaves once fear reaches its limit.
I’ve been waiting for this reset because it brings the kind of opportunity that only exists when the crowd is trapped in emotion.
Six months of grinding higher has built layer upon layer of support beneath us. That structure doesn’t disappear in a single headline. It just gets stress-tested. And when stress reveals which shelves hold, the roadmap for the next leg becomes clear.
The first daily RSI break below 40 since April tells us we’ve reached emotional capitulation. The difference this time is context. The daily trend is still above its 89 EMA, and that means the broader structure (despite the violence of the drop) remains intact.
What I care about now is how the market rebuilds from this point. Whether buyers defend the shelves that matter, whether reclaims hold or fail, and how long volatility stays elevated. That’s where the next edge forms.
Not in trying to be early… but in recognizing when structure shifts from defense to offense.
This isn’t collapse.
It’s a reset.
The reset I’ve been waiting for.
So the question isn’t what caused the selloff.
Everyone knows that part.
The real question is what the market just did with that information: structurally, emotionally, and mechanically.
Because when volatility explodes like this, the first reaction is always emotional, but the aftermath is where information hides.
The chart becomes a map of human behavior:
Who panicked
Who got trapped, and
Where the real buyers stepped back in.
That’s where my focus shifts now.
The shift is away from the headline and into the structure itself.
Not to predict, but to understand what just changed beneath the surface.
Let’s Dive Into The Time Frame Analysis, The Structure, and The Opportunities I’m looking for this evening and into this week.
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