posted 9.12a.m. est
from pre-open comment Wednesday 15th April
>>I made the comment after the 26th March and 3rd April that it is unusual to see agressive buying on the high day of a rally (green at top). Both these potential high days were subsequently exceeded. Monday was a similar day. It’s unusual but not unknown. The fact is there is usually responsive (red at top) selling first.
For now Tuesday’s price action looks like nothing more than a pull back to the major poc at 830. Before we assume Sellers have taken control of the dayframe we need to see effective selling below 830.<<
Pre-open Thursday 16th April
Wednesday saw significant Buyers responding just above 830 and active again p.m. Although the Buyers were active they were not effective; value was lower/overlapping and there was less volume. Over the last six trading days, the only two days that saw an increase in ES volume were the two that closed down. Yeterday closed up but volume decreased, also for NYSE. That’s not particularly constructive but the Buyers are still in control here.
The last four value areas have printed above 830 which I said more than a week ago would be a bullish development so there is the possibility of a fast move higher here which becomes likely if 846 shows support and we see an effective session from the Buyers. 846 is 1/2Range from Monday’s high and is currently the controlling price of that range.
Effective selling below 830 would negate the bullish scenario and strongly suggest the rally is over.
