Lumpy Rug Wednesday

-------------------------------------------------------------------------------------------------------------------------------------------------------
Good Morning and Welcome to the XJO Wednesday Thread
-------------------------------------------------------------------------------------------------------------------------------------------------------

The XJO closed a little lower on Tuesday, where spread was about average, but volume was above average.
The Index pushed lower from the open, until mid afternoon, and then staged a comeback to close only slightly lower.
In essence price tested back through the spread of Monday's bar, and has drawn out above average supply, so I expect the highest probability is for another sideways bar today (similar to Tuesday, but perhaps a little narrower), in an effort to remove or absorb that supply.  Next highest is perhaps for a continuing push higher......however just note that if the increased supply that has shown up on Tuesday begins to overwhelm price, or cannot easily be absorbed or removed, expect a pull back to some degree, at least until the increased supply dries up or moderates.  A clear break and close below the blue line below, would probably see price come back and retest the strength of the previous breakout again.




Good Trading and Investing




finally, another big thank you to @redbacka and @V* for putting up some fine opening crankers while I was away.

..
..
..