Tag Archives: rally high

Gap Open Higher then Selloff

After a large 10+ gap open higher and small rally, price sold off sharply from a no-excess B/C period high at 2831.25.

gap, selloff
10+ point gap open higher then selloff to prior close

An early market profile trading reference could be at the 2822.00 late rally high at the close. Acceptance above that level has good odds of at least targeting the poor high. Failure to find acceptance back above the late rally high could test the session low at 2812.00, which was just one single tick above the prior day’s close, a potentially weak day time frame reference.

The prior recovery high at 2818.25 had been traded through, probably reducing the significance of that level as potential support.

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Markets Sell Off to Begin the Week – Fear of Possible Trade Wars Finally Sink In

large gap lower
large gap lower to begin the week

Often large gaps that begin a new week develop into a new short term trading range. Large gaps are also rarely filled the day after they are created.

market profile rally high
Split view market profile chart shows late rally high following early selloff

The late rally high at 2725.00 could be an early Market Profile trading reference on the next trading day. Continued acceptance below that level keeps the current downtrend in tact. Acceptance above the late rally high targets the excess single prints above 2732.00, and potentially test the prior monthly high at 2745.25. The session low, at just two ticks above the psychological 2700 level, is also very questionable.



(the above, post and all posts on es-traders.com, is an interpretation of market generated information using the Market Profile, and the information contained within is to be used for informational purposes only and not to be construed as investment or trading advice. DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS WEBSITE. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Please read our disclaimer)

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Selloff Leaves Anomalies in Market Profile Chart



selloff leaves anomalies in profile chart

Anomalies are often a sign of shorter term, emotionally driven traders in control and are often at least partially “repaired” in a future trading session, if not the next.

market profile rally high
Split view market profile chart. 2723.50 rally high

Acceptance above the rally high could target the single print at 2732.25 and upper distribution in Monday’s profile.

Failure to find acceptance above 2723.50 could keep the downtrend intact, with good odds of price retesting the point of control, and the potential to test the 2700 level and the lower end of Monday’s lower distribution.

Acceptance below Monday’s low could target the wide point of control from March 2nd at 2677.75 and potentially test the low from that day at 2652.25.



(the above, post and all posts on es-traders.com, is an interpretation of market generated information using the Market Profile, and the information contained within is to be used for informational purposes only and not to be construed as investment or trading advice. DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS WEBSITE. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Please read our disclaimer)

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