Pre-open Friday 26th June
Buyers were active on Thursday. Responsive Buying was marked very early in the day just below Wednesday’s low and Aggressive Buying (green at top) later in the day. The Value Area was higher and wider on increased volume. This is Effective Buying in the dayframe and was a surprise (to me at least).
Stats suggest that Thursday’s high will be exceeded during the day session today. The most recent imbalance is Buying (green) and according to my rules that should eliminate the short side for me until Significant Selling (red) is marked.
It will now be very interesting to see how the Sellers Respond to this latest appearance by the Buyers. Personally I will be struggling to obey my own rules and not short this thing if it sticks its head above 930… But as a Bear maybe I have too much company….
The AAII (public poll) yesterday showed just 28% Bulls and 48.8% Bears. That’s the lowest percent Bulls and highest Bears for 15 weeks and from a contrarian perspective may explain why the market isn’t ready to head lower just yet.
