Debriefing 2nd June 2022 and Today’s NFP Plan

The Balanced Trader
Jun 3, 2022
2 min read

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Data

DATA: source investing.com

Yesterday’s Market Profile and Price Action Debrief

Market Profile Debriefing 02.06.22

The ON auction was balanced, remaining within the lower distribution of yesterday’s auction. Given the previous afternoon’s balance this added significance to this area. A break of this consolidation zone could lead to a significant uncoiling of positioning and it would be important to look for continued balance or change. The ON high was 4128, and the low was 4083.5.

The handover into the RTH session was a few points below the previous close @ 4099, which was immediately tested, only for sellers to aggressively attack the ON lows. Importantly the auction quickly reversed back to just below the open. This was a critical early clue because both buyers and sellers have demonstrated a weak hand by failing to penetrate LTF references such as the prior close and ON low. Potential Chop given the prior afternoon chop.

Indeed this choppy PA continued whilst below yesterday’s VPOC @4103 and the lower quartile before shorts folded as passive buyers again were found at the prior gap from 27/5. The final straw for shorts was a high-volume failure to trade through yesterday’s lows that then attracted buyers impressively squeezing the auction from low to closing high @ 4176 ending the OTFD. Auction now trading on the edge of the 4-day balance area high.

Watch to see if the trend breaks of 4-day balance area and monitor for any PB back to the spike base @4164 and the singles @4137. Buyers will be looking at 4202 and 4216 singles as HTF targets.