The overnight session has seen sellers trying to gain a foothold. Most of their overnight attempts have been thwarted but they appear to be gaining a bit of traction as I’m preparing this analysis.
We’re still above the major three day balance zone I highlighted yesterday morning.
The behavior of volume on the upper half of yesterday’s range is fragmented and signals a lack of trade facilitation. It’s odd really, it wasn’t a sharp reaction from the sellers but more running out of buyers. Either way 1666.75 was left behind as a near no volume node and is the primary resistance to the upside.
It’s looking like we may test the balance zone today, and along with it my expectation is for some choppiness. Buckle up.
UPDATED NOTE: We put in a double bottom at 1661 overnight. It’s close to yesterday’s low 1660. A test of this area seems likely and important. A break of 1661-60 should have us looking for swift trade back to the balance zone below.
