The XJO closed modestly higher on Monday.
There was no great appetite in the local market for the downside today when the opportunity was presented.
That said, demand was restrained and suggested uncertainty, leaving a very narrow spread bar whose range contracted considerably.
When price range contracts sharply like this, it will often expand sharply in response when direction or sentiment is confirmed.
So look for a response very soon - perhaps tomorrow - if overseas trading confirms sentiment and direction.
cheers
.
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