Hi all,Today a tiny half cent outside gap between $1.94 and...

Hi all,

Today a tiny half cent outside gap between $1.94 and $1.945 left behind by Monday's breakdown bar below $1.925 was closed, and with low volume trading was looking like a multi-bar shakeout. Perhaps counter-intuitively these always look better when volume on the way up is lower than volume on the way down, indicating that most of the supply has been cleared at this level for an easier move up. But as it turned out when I checked back later it wasn't a low volume day at all- which made me curious and go and check the 15 minute chart to see what happened. A massive spike in volume during the closing auction basically doubled the total for the day. Google tells me this was mainly due to MSCI index rebalancing which becomes effective at close today, and sure enough across the board pretty much everywhere I looked through my watchlist there was a massive volume spike with the closing auction. Always something new to learn with this caper.

The second chart is a 15 minute chart to show you what I mean...