Mechanical Liquidation!

Today was a spectacular example of the market really having transparency (edge).

We were not blind to the fact that inventory was getting really long and that some sort of inventory re-balance could be in the cards.  And that's what happened today with a little bit of news coming out.

Volume and volatility spiked.  Looked scary.

But the sellers exhausted right on cue -- and that is never good for downside continuation.

We will highlight the structure of the selling on the 5 minute.

And clearly point why today  the selling was doomed.

Two perfect trades of the day featured today.

Now let's unpack the 5 minute movement a bit.  Today is worth the effort. 

Picture perfect low volume creeper-grinder day.

Don't mess with the bots as they target gap fill.  Didn't quite get there, but close!

I think that it takes news to stop the grind to fresh highs once again.

No trades of the day today, other than to grab some risk and let the end of day pop fill you for some points!

Grinder Day

Textbook bull market grinder day.

The pattern sure has been for an hour and a half of balance to start the session -- with a breakout either way after that.

5 days in a row now of this patterns.

Trades of the day were to follow the TICK in morning balance and afternoon pullback to VWAP.  Follow the tracks at the references.  

Balanced Day

Nice trading day today.

this market has been doing a lot of ABC period balance before breaking out in a low confidence fashion.

Yesterday's gap was the destination to the downside, but they could not fill it until 11:30, which was also a minor low of the session morning lows.

Trade of the day, folks.

Reversal at VWAP honorable mention.

Shocker!

Shocker!  A continuation day.

Volume dived once again, so did VIX.

Only a minor low of the session morning lows.

Sellers?

None to be found.

Just day time frame inventory adjustments.

Oh boy, we sure got it right, and nothing has changed. 

No Trades of the day.  VWAP reversal trade fails as inventory too long.

Structure Rules!

It's so cool when the structural analysis just "jumps off of the screen".

And right on cue the bounce has started, like we pointed out in our 1st slide in yesterday's post. 

Nice trading day today -- and high confidence when married with our high-odds assessment of yesterday.

A trend day session made complete-total-structural-sense and the trade of the day was a mid-session continuation move higher.

I just love this stuff!

GREAT TRADING DAY!!!!!!

Wonderful action on the 5 minute chart for today's session.

The true trade of the day was the minor low print and excess tail of yesterday's range lows.  This market is printing minor lows day after day after day after day. And the price action leading into today's trade was low confidence which made the trade even more juicy.  And the S1 reference level was right there too.

This market is continuing to creep lower in the most low confidence fashion possible.

Should the buyers not step in hard soon, I will be shocked.

We have some wonderful price action to feature in tonight's slides on the 5 minute.