The market continued its bull run yesterday with an aggressive morning pump. The rest of the session played out first with the formation of a “P” profile which suggests the action to be temporary phenomena in the market known as a short squeeze. I’ve split the TPOs from yesterday’s session and split them to the right for you to see.
Notice the letter J TPO which fell out of the developed P and the subsequent auction that occurred afterwards. We tested the lower extremes of the sessions and the buyers bought the dip, we tried to reenter the upper distribution afterwards (the meat of the P-shaped profile) on to see rejection.
All of that unique auction action at 1494 is why we need to closely monitor how we trade relative to that level, that is where I will decide if I need to reduce cash from 40% to something less into the weekend.
Otherwise I may cut additional weakness and lock in gains to increase cash.
Names I’m watching should I need to add: FLT, CSE, TWGP, HTHT, GTAT, and BTN.
Trade’em well ladies and gents.
