As of 730 CST,
the market has auctioned lower from Wed Settlement, 110.10s, achieving the Stopping Point, 108.60s, at/near the Avg Daily Range Low.
Balance has developed, 108.60s-109.60s, as the market awaits the next outcome in the Syrian narrative.
Focus on development of Globex Balance and any response to either edge of the Balance.
the market auctioned higher from Tue Settlement, 109s, continuing the geo-politically fueled buyside auction, driving price above the Major Balance Area High, 109s, achieving the Stopping Point, 112.25s, at/near the Weekly 1st Std Dev High, 112.33s, encountering sell programs there.
The market sold off sharply as sell programs drove price lower, achieving the Stopping Point, 109.33s, balancing, 109.40s-110.80s, into the Pit session open.
While the market is poised to open Gap open higher, the Globex b shape structure implies longer timeframe sellside has appeared during the London session. Focus on response to Balance High, 110.80s, into Pit session open.
The market auctioned higher the first half of the week following buyside directional phase development beginning last Friday through the multi-week Balance, 102.20s-108.80s, amplified by the geopolitical narrative surrounding Syria.
The market broke out above the Major Structural Resistance, 108.80s, driving price higher, achieving the current Stopping Point High, 112.25s, at/near the Weekly 1st Std Dev High, 112.33s. Sell programs of significance emerged there driving price lower and balancing into Thu’s session. The frequency table illustrates the high probability of this area functioning as a Stopping Point and/or potential intermediate Resistance area.
These studies helped inform our subscribers of the structural development of the auction from Balance to a Buyside Directional Phase last Friday. This structural data also implied an increase in volatility and provided quantifiable upside destinations (109s/112.33s) in congruence with the market structure.