* td ES vol 2.2% lower than last 50 sessions average
* td ES vol 27.2% lower than 1st sep vol
As buyers had left the market for a while, one more sluggish session has finished. Volume today was tremendously light, so the market, separately ES (S&P 500 futures) was stroked down to the 3 points range channel with the duration of one of thirds of the past session.
Its total volume was only 2% lower in comparison with an average of the last 50 sessions, but near 1/4 below 1st seprember volume spike level. What have happened? Indeed, market had a numerous of divergences indicating sell signals, on middle-term & long-term charts, topped by other signs calling for hugely overbought conditions. But that’s not to curry out and pay attention on.
We do have majority of internals confirming rally continuation. For weeks, I was attracting your attention on energies & financials non-confirmation as well as not appropriate volume dynamic for bulls plans – mean, again, no confirm. What have happened? Two mentioned sectors above, as well as other 6 key sectors, which I track, did post fresh highs. Volume? OK, that’s the only thing not completely confirming higher highs, but for a while, looks like nobody cares (but still something to keep in mind). We now, in the past sessions have entered in a range trade, as we moved forward upside after breaking volume cluster, I mentioned about few weeks before. Therefore, we do not have any strong resistance levels all the way up to near 1120 points. That level corresponds to be the 50% fibonacci from current year ES low posted on 6th march (666p.) & 11th november of 2007, the highest point ES have ever posted (1587p.). Serious resistance level is near plus 4% from the current level – not so far indeed.
Today’s volume & ranging was head shooting, so do hope to see volatility increase on tomorrows Fed announcement. Still, do remind you, that on the past at least two FOMC meeting sessions, on 24th june as well as 12th august, we always saw broken trend day pattern.
* td ES vol 27.2% lower than 1st sep vol
As buyers had left the market for a while, one more sluggish session has finished. Volume today was tremendously light, so the market, separately ES (S&P 500 futures) was stroked down to the 3 points range channel with the duration of one of thirds of the past session.
Its total volume was only 2% lower in comparison with an average of the last 50 sessions, but near 1/4 below 1st seprember volume spike level. What have happened? Indeed, market had a numerous of divergences indicating sell signals, on middle-term & long-term charts, topped by other signs calling for hugely overbought conditions. But that’s not to curry out and pay attention on.
We do have majority of internals confirming rally continuation. For weeks, I was attracting your attention on energies & financials non-confirmation as well as not appropriate volume dynamic for bulls plans – mean, again, no confirm. What have happened? Two mentioned sectors above, as well as other 6 key sectors, which I track, did post fresh highs. Volume? OK, that’s the only thing not completely confirming higher highs, but for a while, looks like nobody cares (but still something to keep in mind). We now, in the past sessions have entered in a range trade, as we moved forward upside after breaking volume cluster, I mentioned about few weeks before. Therefore, we do not have any strong resistance levels all the way up to near 1120 points. That level corresponds to be the 50% fibonacci from current year ES low posted on 6th march (666p.) & 11th november of 2007, the highest point ES have ever posted (1587p.). Serious resistance level is near plus 4% from the current level – not so far indeed.
Today’s volume & ranging was head shooting, so do hope to see volatility increase on tomorrows Fed announcement. Still, do remind you, that on the past at least two FOMC meeting sessions, on 24th june as well as 12th august, we always saw broken trend day pattern.
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