FTU CHART
BNF 24May prognosis.jpg
What a day today in BNF! We saw an open test drive that led to an OTF uptrend almost throughout the day, covering a range of over 1000 points. As a result, the value area migrated higher. Given that it was a trending day with no more than four TPOs at any price, we cannot comment on the development of the POC. However, the elongated profile suggests that both shorts were covering their positions and longs were adding, indicating that old business closed and new business opened, resulting in an elongated profile.
We're left with a super poor high and anomalies due to the elongated structure, which are typically cleared sooner or later. With today’s large rally, it remains to be seen if the bulls have enough energy to sustain the momentum tomorrow. According to Auction Market Theory (AMT), prices go up to find sellers and down to find buyers. Just like we saw yesterday’s fierce retracement to 47400 met by responsive buying, leaving a strong buying tail. The poor high suggests that buyers have not yet pushed enough to exhaust the sellers.
Hence, for tomorrow, the critical level to observe will be 49000 - 49050. Clearing this level could lead to the singles zone at 49300. On the downside, robust support levels are expected at 48700, 48500, and 48200.
We're left with a super poor high and anomalies due to the elongated structure, which are typically cleared sooner or later. With today’s large rally, it remains to be seen if the bulls have enough energy to sustain the momentum tomorrow. According to Auction Market Theory (AMT), prices go up to find sellers and down to find buyers. Just like we saw yesterday’s fierce retracement to 47400 met by responsive buying, leaving a strong buying tail. The poor high suggests that buyers have not yet pushed enough to exhaust the sellers.
Hence, for tomorrow, the critical level to observe will be 49000 - 49050. Clearing this level could lead to the singles zone at 49300. On the downside, robust support levels are expected at 48700, 48500, and 48200.
Today market was trending , so we can expect tomorrow two things .
1. Trend continuation
2. Range bound (not side ways but range bound)..
I am writing down three possibilities in case of flat opening and first spike up or slight gap up opening.. then market may move down and become range bound to go near 48350 or so.. (this may be achieved at day end)
Or first move down or gap down then goes up to 48900 levels .. wherein call high of today shall break and move around 20% up..
Bullish Trend continuation 49000 ce breaks day high go to 420 levels, retest at today's high or a bit below and then continue rally
Trade according to zone and price action
1. Trend continuation
2. Range bound (not side ways but range bound)..
I am writing down three possibilities in case of flat opening and first spike up or slight gap up opening.. then market may move down and become range bound to go near 48350 or so.. (this may be achieved at day end)
Or first move down or gap down then goes up to 48900 levels .. wherein call high of today shall break and move around 20% up..
Bullish Trend continuation 49000 ce breaks day high go to 420 levels, retest at today's high or a bit below and then continue rally
Trade according to zone and price action
FTU CHART
Today market was trending , so we can expect tomorrow two things . 1. Trend continuation 2. Range bound (not side ways but range bound).. I am writing down three possibilities in case of flat opening and first spike up or slight gap up opening.. then…
So the first possibility happened but I am not looking now for 48350..
Gold 24 May.jpg
1.3 MB
Gold: 24th May
Gold been on selling spree since last 4 sessions.
We have good selling tail from open and PD has a poor low. NY Session opening and sustaining above 2235 might see rotation back towards 2345 - 2352.
Else, 2318 - 2308 is a good support zone.
Gold been on selling spree since last 4 sessions.
We have good selling tail from open and PD has a poor low. NY Session opening and sustaining above 2235 might see rotation back towards 2345 - 2352.
Else, 2318 - 2308 is a good support zone.
Crude 24 May.jpg
1.7 MB
Crude: On selling spree since last 4 sessions.
ON value area overlapping to PD value area
~100% inventory is short (below PD close)
As per Dalton ~70% of the times watchout for counterauction: i.e. rotation upwards.
Movement above PD close (77) and then ON high (77.08) might see crude knocking at 77.62 levels: here the trapped longs might provide liquidity.
Clearing this zone opens the targets at 78 and then 78.4 - 78.65
If counterauction, i.e. upward rotation is not seen that would mean crude continues to be weak. I would then look for 76.5 - 76 as support zones.
ON value area overlapping to PD value area
~100% inventory is short (below PD close)
As per Dalton ~70% of the times watchout for counterauction: i.e. rotation upwards.
Movement above PD close (77) and then ON high (77.08) might see crude knocking at 77.62 levels: here the trapped longs might provide liquidity.
Clearing this zone opens the targets at 78 and then 78.4 - 78.65
If counterauction, i.e. upward rotation is not seen that would mean crude continues to be weak. I would then look for 76.5 - 76 as support zones.
24th May ES Analysis:
Following a significant liquidation, overnight trading appears to have consolidated above the previous day’s close. With the inventory 100% long (i.e., all trading activity occurred above the previous day’s close), historical data suggests that approximately 70% of the time, we see a counterauction. Thus, it will be interesting to observe how the New York session opens.
Key Levels to Watch:
Downside:
VPOC at 5298:
Any movement below this level will likely find support at:
5295 Levels: A crucial support level just below VPOC.
Poor Low at 5286: This level is weak and may get tested.
Previous Day Low at 5273: Clearing this level could lead to further declines.
Singles Zone at 5265 - 5260: This area could act as a significant support if the price dips further.
Upside:
Monstrous Singles Zone from 5302 - 5315: This zone represents a significant resistance area that the price will need to clear for further upward movement.
Summary:
The overnight inventory being 100% long typically indicates a high likelihood of a counterauction.
Support levels to watch are 5298, 5295, 5286, 5273, and the singles zone between 5265 - 5260.
On the upside, clearing the singles zone between 5302 - 5315 is critical for any substantial upward move.
Following a significant liquidation, overnight trading appears to have consolidated above the previous day’s close. With the inventory 100% long (i.e., all trading activity occurred above the previous day’s close), historical data suggests that approximately 70% of the time, we see a counterauction. Thus, it will be interesting to observe how the New York session opens.
Key Levels to Watch:
Downside:
VPOC at 5298:
Any movement below this level will likely find support at:
5295 Levels: A crucial support level just below VPOC.
Poor Low at 5286: This level is weak and may get tested.
Previous Day Low at 5273: Clearing this level could lead to further declines.
Singles Zone at 5265 - 5260: This area could act as a significant support if the price dips further.
Upside:
Monstrous Singles Zone from 5302 - 5315: This zone represents a significant resistance area that the price will need to clear for further upward movement.
Summary:
The overnight inventory being 100% long typically indicates a high likelihood of a counterauction.
Support levels to watch are 5298, 5295, 5286, 5273, and the singles zone between 5265 - 5260.
On the upside, clearing the singles zone between 5302 - 5315 is critical for any substantial upward move.