Disclaimer: For educational use only. I’m not dispensing financial advice. We are having an intellectual conversation (you and I) on the topic of trading the Emin futures using the Lens of Wyckoff Principles and the Eyes of WB’s clock. The clock that controls all turns intraday, every day!
Yesterday the market was begging to go up. And it did. Before it did, it had to shake out any and all traders with any bullish notions or tendencies. I had it as an S2L day. It’s a good day. In the PROS and NUMBASH page 2:
Edge: If the bulls keep possession of the ball, it is a strong trend day to the upside. Today: Gap up with the PEONS over their skies. Price may sell off on the spill due to the PEONS being too LONG. Cycle Bias: Potential favored to bull. Shape of the day: Strong bullish trend day with dog leg from lunch high to mid pm low.
It does not always work out. For the most part, it worked out.
That’s what WB gave us. I just keep it going. If you like the weekly pivot. It also gave you a good lean earlier this week. On the monthly traders are still pushing for that December high. By my eye, the risk is increasing cause the volume is just not there. Today Personal Income might be what the FED is looking for. Odds favor volatility today.
Yesterday we took out last week’s high at 4036 handle. If we fall back that should have a bid. If we lose the bid it could go down to yesterday’s low at 4027 and hold. At least for a little while.
Market probed into January highs on low volume. That just can’t be good for the bulls. The close gave us a nice spike. You could see a bid at the 4069 handle. If we lose that then the 4036 handle.
Of course, all of this may have changed before the market opened. We have a lot of offing events that may soon start to take center stage: War in Ukraine is starting to gear up for full-scale kinetic war. With Leopards in the Fray. And now Jets (F-16’s). Look for Spring Equnoix as demarkation war / no war. The cost of Inflation is rising, $7 eggs and climbing. And the flow entering from the Southern border.
Looking Forward January 27, 2023
Due to recent changes in market behavior, I’ve decided to change my focus to Time-based trading. This allows you to benefit from the flow of the arrow of time and not fight against the algos in the nanosecond.
For now, the GLOBEX market looks net short. The close to settle may have given us a provisional Selling Climax. Price may start to work it’s way down. No major liquidation but perhaps some.
For news Personal Income, Consumer Sentiment, and Pending Home Sales. So say the 8:30 am number going to rock it and set the tone. Let’s just see how it plays out today. The best case is a dip to the 4050 and then a run with the bulls. Worst case. We lose some of the gains from the past two days due to the light volume on their way up.
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