The /ES is working on coming into balance, and that process has continued overnight. Overnight there were seven handles of range but it took place within yesterdays range. Price was unable to take out prior day highs (or lows) as it auctioned through the night. Instead we saw a quiet auction taking place within the confines of our lower distribution.
Early on we may see sellers working back into the market to close any overnight gap back down to 1686.25. This level also marks the value area low set by both distributions yesterday. If bulls want to effectively impede the sell flow, they can start by holding value and setting a higher low.
Overall my expectation is for continued choppiness which means we are in a trading environment conducive to intraday Bossram Alpha signals. The key is patience and letting the market come to your target entry points—think Braveheart holding the line alongside his army.
I have highlighted a few scenarios and price levels of interest on the following market profile charts:
It would seem to me, and I could be completely wrong, that the path of least resistance is higher here. What say you, button pusher?
The trend is still lower on my timeframe but it is very long in tooth. It really depends on who asserts more pressure and busts out of this large developed value (above 24 hr profile).