8:22 AM CT - I've added the top, Market Delta nautical chart to demonstrate how nosotros are edifice book (and so accepting value) below the day's VWAP. When nosotros cook book inwards a relatively narrow surface area (1103/4 inwards ES futures), nosotros desire to expect for moves away from that surface area equally a sort of breakout move. The book in addition to participation associated amongst such moves volition attention make upwards one's heed whether nosotros sustain a rejection of the toll grade or volition autumn dorsum to that consensus area. Note that the electrical current book bulge is occurring at the lower surface area of a multi-day range: a intermission below that grade would equally good move a candidate intermission of that wider range. Conversely, rejection of the bulge surface area to the upside would target the reverse terminate of the range.
We tin run into that CBOE equity put/call ratios induce got been running most average inwards the wake of the recent marketplace position rise. While we're good off the bearish stance levels seen at the recent lows, we're equally good non close bullish levels that induce got been associated amongst recent marketplace position tops.
My proprietary index of short-term marketplace position momentum has equally good moved smartly higher inwards recent days. It tends to exceed out ahead of price, peculiarly during marketplace position upturns, suggesting that nosotros could run into farther upside to the rally.
My Demand/Supply Index, which is a mensurate of the lay out of stocks closing higher upwards in addition to below the volatility envelopes surrounding their moving averages, is showing depression levels of both Demand in addition to Supply--a feature of attain markets. That places us inwards spotter trend for a breakout motion today.
I'll move updating this ship service afterwards this forenoon in addition to tracking the marketplace position via Twitter (follow tweets here).
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