Pre-open Thursday 9th July
Wednesday’s Value Area was lower and wider on increased volume. The major poc support at 870 was tested and recovered. Low on SPY was exactly 87.0
The odds would suggest that this week’s SP500 HiLo range is likely to expand above Monday’s high or lower than Wednesday’s low (it is small compared to 40wk average). The last imbalance was Selling (red) on Tuesday so that would suggest lower, but we have big support at 870 area and the hourlies are oversold.
The 878 may well attract time – that would be a negative if it does.
If the weekly range extends lower it would put ES below 870 and that would indicate further weakness to come.
