As we pointed out yesterday, the Fed move down rejection at mechanical S2 quite possibly indicated some lolly-gagging around by the sellers. And we all to well know what such instances of lolly-gagging just might translate to going forward in this market.
On cue, buyers came in early on today and ripped higher it to R1, where it based at this level for two hours. Then a cutesy VWAP little pullback, perfect test, and reversal. (Always a great mechanical continuation signal)
The trade of today was to take heed of the VWAP reversal and triangulation at R1 range highs -- along with yesterday's range highs looming just above to suck in price in for a liquidity test.
Tomorrow we expect at the very least balance, but most likely a bull market push back to test the 1800 zone.
Holidays are here and Santa is apparently wearing his hat.
Downside? Ha! Maybe if it fails from a test higher.
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