THE GAP!

Volume and volatility were up today.  A 19.25 range was actually very good for this market regime!

The morning push up failed, and it was clear that the buyers were mechanical in nature as the HOD was R1 and right at 8:00.  It also failed to test daily job report excess highs.

And from there the day printed an inverse check mark, closing near the lows.

All-in-all a very low confidence sell day, and the day offered up a few nice counter-trend bounce entries.  The trades of the day, turns out, were to sell R1 and then buy S1, as the programs were firmly targeting the pivot levels.

All BOW: "THE GAP" is looming right below!   You could almost feel the collective groan as the entire world was under it's spell, watching it today.  All can SEE and FEEL the cosmic pull of "THE GAP".

The gap gets tested in some fashion, either in the overnight or day session tomorrow.

Or I'll eat my hat!  (The last hat eating call didn't go so well!)

Check Mark Monday

A very low volume Monday as was evidenced in range contraction of 5.25 points versus Friday's session.  Still a 13 point range not all that bad, considering the very low volume.  

All-in-all a very classic bull market structure day.  With a mechanical 8:00 low in, the session had easy sailing to print a check mark day.

Today was bullish and gives the red carpet to the zombie buyers to come in tomorrow and gun for the job report excess highs.

Of course a failure at this juncture will print a big red.

 

UE Report Chop

Choppy as usual from the jobs report.  They didn't quite make it to 1900 but it was close.

There is excess above now, so if Monday starts to sell off, there would be structural support of the selling.

But we expect the zombie buyers to jump right back in.

Too Long Inventory

Nice trading day today.

Inventory got too long basing at highs and the triangulation pattern failure triggered a nice sell move into the gap.

There was just too much negative sediment across the marketplace to embrace a breakout higher, as well as, to justify being on the lookout for a rinse move lower!

And the move lower almost filled the gap at 11:00, offering a nice reversal entry back higher.

And the game goes on!

With that big gap below, we are a bit hesitant to call for higher prices tomorrow.

But 1900 is within spitting distance now, so what's going to stop the programs?

The big bad jobs report tomorrow?

Very Tight Consolidation Day

Very tight consolidation day.

No trades, not interested in a 5 point range.

Days like this after big moves higher will usually trigger a high-odds look higher tomorrow.

Ka-Pow Higher

It's sure is nice to be right!  Man, what a wheelhouse trade!

Yesterday's glaring structure produced a nearly 20 point gap up today.  And the market didn't even look back, grinding up another 10 points higher to close the day session out.

With the big gap now looming below, the buyers better watch their back for tests into it.  But that's for doomsayers, right?  Or is it?

I'm sensing that this market might be a bit panicked long at this point and corrective moves are on tap.  That, or it just keeps grinding higher once again.  A continued glistening upside move feels lowest odds right now.

War Mongers

North Korea is being a problem again!  Those suckers.  Wait, I mean Syria.  No, is it Iran?  Who's the war-starter this week?

Oh that's right, this week's war is Russia.

The market gapped down and printed a low confidence move lower that reversed at 1832.  No real reference there, other than a minor low of the 2/21 session lows.

No damage done today as the responsive buyers are healthier than the military complex's appetite for a fresh war.  

See you tomorrow for some higher prices (unless more negative news hits).