Days like these often get taken back swiftly. But they can also signal the return of programmed grinding higher action that is so characteristic of this uptrend.
As I was doing analysis last night, I was very conscious that late day liquidation events are bullish. I've stated this many times in many previous posts. My mistake was to give too much credence to the daily range and discount this pattern.
The liquidation washes out short term longs and if the ranges stay intact, like yesterday, then watch out for more upside. But we did point out the ascending nature of the daily price patterns, so we were not totally off in our analysis.
Tomorrow is Fed day, so we expect a slow morning with potential movement afternoon. We will not be surprised to see a plunge back into the range or continued grinding higher.
But that very low IB volume probably does indicate lack of institutional participation early going... So maybe the laggards were in control today.
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