posted 9.05a.m. est
from pre-open comments Monday 6th April
>> I think in both price and time the market is at a pivotal point; this is an ideal juncture for a bear market rally to start running out of steam. If the rally has more to it we’ll find out if ES consolidates above 830 over the next few days.<<
Pre-open Wednesday April 8th
Lower/overlapping value areas have been narrowing over the last three days and volume has been contracting – with no significant selling to mark. Looks like Buyers resting so far and typical corrective action in an uptrend – i.e. no confirmation of a change in trend as yet.
An important point to note is that since the March low Buyers have responded every time they were offered price below 2daysVA (that’s the value area of the previous two days price action combined). Price below 821 represents such an opportunity today. If price is offered to the Buyers below 821 during today’s session we get a chance to see if they are still actively responding or whether control is shifting.
In the dayframe the most important level is 816/17, the controlling price since the March low and likely support/resistance.
In the longframe bulls would want to see value building above 830 and bears would want to see effective selling marked below 830.
