There is a lot of uncertainty in the market currently which is the cause for the increased volatility and lower liquidity. Yesterday gapped open above Friday but failed to reach the overnight high, and then saw liquidation and push down to retrace 50% of the Friday low- Tuesday high swing. There was responsive buying and a push to close above Friday's VPOC.
We are trading within the value area created since the December low and all time high. For buyers to be in control they will need to trade and hold above 2030.00 (LVN on micro composite profile and top of HVA on composite profile). The Jan 13th nVPOC at 2048.00 is the next upside target after that.
The overnight range is currently 2008.00-2021.50 on fairly light volume. I'm expecting a test of yesterday's POC (2006.75) & VPOC (2005.00) before any attempt higher. If volume begins to build below 2000.00 then 1995.00 (micro compsite VPOC), then Friday's low at 1981.25 are the next targets. Below there the 1961.25 December low then 1957.00 composite VPOC and 100% measured swing move are next targets.
Housing starts at 07:30 ct