Debriefing Thursday 23nd June and Todays Journal

Debriefing Thursday 23nd June and Todays Journal

June 24, 2022 0 By The Balanced Trader

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  • IFO Economist: Despite increased uncertainty, there are no signs of a recession at the moment.
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Friday’s Data

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Thursday’s Market Profile Debrief

Thursday’s Price Action Review

Thursday’s auction opened at 3783.75 with a gap to the prior settle 3760.75 following a very whippy ON session that finally led to shorts covering higher. ON action had initially seen us drive lower into Wednesday singles but buyers defended this area well. The information to take forward from the ON action would be that buyers did a half-decent job of defending Wed’s singles.

Open Auction Inside Range (OAIR) A test of the prior day VA High 3791 was quickly rejected and then choppy auction down toward the previous settle 3760 but failing to make the distance, buyers stepping in to form the IBLo at 3765 (the prior days VA Low). The auction then proceeded higher in a typical random until the IB was breached only for the auction to fail and then test the other side of the balance. (Watch out for this failed auction setup, it’s a trade all by itself especially when trading balance).

The reaction to the failure would be a test to the other side of balance which stood at the opening IB low and yesterday settle at 3760. Once these levels were breached a further test to….. surprise surprise prior days singles 3745. Top Clue – Buyers had defended singles overnight and they did it again coming in higher/ more competitive demand!

I mentioned yesterday we were unlikely to see extended moves given the pace of the auction and lack of relative volume. the best trades were outside in and this was an excellent setup!

Now Buyers had defended these lows the auction moved up through the range unabated briefly holding at the POC before going on to test the PRIOR MONTH LOWS 3808,(MASSIVE REFERENCE).

The high into the close was set at 3805.75 just 1/4 of a tuck above the prior day’s high settling at 3799.5.

Neutral Extreme Day,  Consolidation Higher Day, In-balance,

H: 3805.75 L: 3745.75 VPOC 3780 VWAP 3777.25 SETTLE: 3799.5

MONITORING 3800 (settle), 3805/3808 (High and Pmonth Low) & 3745(yLO), 3775(Volume ledge)

Tweet Highlights

ON Update and Friday’s Plan

Post-RTH close, ON sellers, found stubborn demand ( Double bottom) just above yVPOC to form a non-excess low 3781 (to be monitored). This seemed like an attempt by ON participants to follow the previous two session patterns of large liquidation immediately after the RTH close. Well, that’s what I read into it.

A squeeze followed trading straight through yesterday’s high and on to test the spike from the auction 15/5-important area (spike base 3829) that is also the outer edge of the larger composite profile. The high from that auction 3843 and spike base is to temporarily act as an area of resistance. Sellers will want o to defend last week’s high and buyers will want to end the OTFD on the weekly to move on and repair the poor structure left behind from successive gaps into last week’s OPEX. Look at the weekly research for higher time frame levels.

GAP RULES!

Opening Bell

0830 CT Buyers came through on the open. Wasn’t quite an impulse but looked like shorts were waiting for the open pullback and they didn’t get it. Once one stopped through the high they all did setting off a cascade of stops higher

OTFD on weekly is now over. The gap back into last month’s range looks like acceptance. keep an eye on that reference into the session though in case we get a PB. 3873 Now the obvious target higher. NO SHORTS!

Todays Gap and GO

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Quote Of the Day

A peak performance trader is totally committed to being the best and doing whatever it takes to be the best. He feels totally responsible for whatever happens and thus can learn from his mistakes. These people typically have a working business plan for trading because they treat trading as a business.Van K. Tharp

Trade Well And Prosper.

BT