Despite breadth being in the toilet and every sector but Healthcare in the red, short sellers cannot gain any traction in the market place. Instead prices are firmly settled into balance.
The number of stocks green on the session is around 30% and NASDAQ net issues are negative 30 meaning more stocks are down then up. However we now managed to form a weak high which has me completely off the short side until this context resolves.
What is a weak high? It is a market profile occurrence where a price level is tagged twice but not exceeded, thus forming a double TPO at an extreme. Here’s a pic:
So now the likelihood of hypo three is elevated, a push up to the gap we left behind last quarter on Apple earnings. So despite my short bias lean, I am just sitting and waiting for higher prices before initiating any shorts.
I call this a rally killing post.
More of a “this tape sucks – want to grab lunch?”