Price could not find acceptance back above the prior day’s pullback low and upper distribution on Thursday:
Tuesday’s pit session opened at 2392.75, a tick blow the prior close and late day pullback low. Price quickly traded lower into the lower distribution from Wednesday. After an initial rejection and three point bounce, price failed to trade back into Wednesday’s upper distribution above 2391.25, and reentered Wednesday’s lower distribution a second time in B period. The high of C period could only trade one tick above the high of the lower distribution from Wednesday, keeping price contained in the lower distribution for most of the trading session.
Value ended the session clearly lower.
Depending on where price opens on Friday, acceptance below Thursday’s point of control at 2386.00 could pressure recent longs and trigger some profit taking. Thursday’s close at 2381.75 and low at 2378.00 are obvious visual references, along with the potential to fill the gap on the daily at 2370.75/2367.00. If price can find acceptance back inside the previous week’s multi-day balance below 2367.00, there is the potential for price to trade to the February 24th low at 2351.50 and the lower extreme of the trading range. The market has been one timeframing higher on the weekly chart for ten consecutive weeks, trading below 2350.50 will stop the weekly one timeframing.
All trends remain up. Acceptance above 2386.00 should easily test the 2388.00 K period high and target Thursday’s high at 2392.75, and potentially assault the 2401.00 all time high.
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