Pre-open Monday 20th July
Last week I marked four instances of Significant Buying. There has been no Significant Selling for eight consecutive days. You can see last week that when the Buyers appeared volume expanded and on days when the Buyers rested volume contracted and the Value Area was narrower indicating that Sellers were absent. Friday’s controlling price at 934.5 is also last week’s poc and is the best reference level for Monday and will likely provide support if this rally is going to extend over the next few days.
Value Areas for three days have been above 907.5 which is a sign of strength. The 3month poc has yet to migrate higher than 907.5 so this remains the most important support. As long as Green (buying) dominates and ES holds above 907.5 this is a market that favours the Bulls.
