Please notice how strong this rally was. Letters b to g show reactions where the closes are completely contained within the previous large up bar. The selling was unable to drive prices down beneath the low of that bar on a close basis. 93.51 is a buying climax. The next bar is a test on low volume and then prices break through the previous low (small blue line) and fall smartly making a lower low. A rally follows which ends with a two bar reversal at a lower high. This is a set up as we have shown before for a gap down opening.
Volume is sharply lower. Volume does not look like the beginning of a new bull move, but that is one of the few bearish things one can say about this chart. The other is
to far too fast.
Please notice how strong this rally was. Letters b to g show reactions where the closes are completely contained within the previous large up bar. The selling was unable to drive prices down beneath the low of that bar on a close basis. 93.51 is a buying climax. The next bar is a test on low volume and then prices break through the previous low (small blue line) and fall smartly making a lower low. A rally follows which ends with a two bar reversal at a lower high. This is a set up as we have shown before for a gap down opening.
Volume is sharply lower. Volume does not look like the beginning of a new bull move, but that is one of the few bearish things one can say about this chart. The other is to far too fast.
