Lets l
ook briefly at the last two days. The flat area around 109.25 -109.02 quite simply is accumulation. We break out from there and weakly rally, making higher highs and higher lows. Today the market
gapped higher, which means prices were raised without buying many shares. The spike up is a buying climax, after which prices were held in a narrow range for further distribution. Demand was evidently temporarily exhausted as prices fell the remainder of the day in a stair step fashion, with little ability to rally. No one could ask for an easier way to sell
alot of stock at high prices than today's action.
It is hard to believe something could gap so much higher on such little volume.
9:55-10:05 was clear stopping action. The heavy selling overwhelmed the demand and exhausted it. At 10:15 find the evidence demand was exhausted. Notice the weak rally which can attract neither a following nor range nor ease of
movement at 10:30-40. Notice how weak the rallies are the remainder of the day. Demand must enter to turn this market and so far there is not much.
Please observe the buying climax previously mentioned on the 1 minute chart.
Given the world wide possible top forming in equities, today's buying climax was a low risk place to go short, with minimal risk. In fact despite today's impressive advance, there has been little buying for days.
Lets look briefly at the last two days. The flat area around 109.25 -109.02 quite simply is accumulation. We break out from there and weakly rally, making higher highs and higher lows. Today the market gapped higher, which means prices were raised without buying many shares. The spike up is a buying climax, after which prices were held in a narrow range for further distribution. Demand was evidently temporarily exhausted as prices fell the remainder of the day in a stair step fashion, with little ability to rally. No one could ask for an easier way to sell alot of stock at high prices than today's action.
It is hard to believe something could gap so much higher on such little volume.
9:55-10:05 was clear stopping action. The heavy selling overwhelmed the demand and exhausted it. At 10:15 find the evidence demand was exhausted. Notice the weak rally which can attract neither a following nor range nor ease of movement at 10:30-40. Notice how weak the rallies are the remainder of the day. Demand must enter to turn this market and so far there is not much.
Please observe the buying climax previously mentioned on the 1 minute chart.
Given the world wide possible top forming in equities, today's buying climax was a low risk place to go short, with minimal risk. In fact despite today's impressive advance, there has been little buying for days.
