Review & Plan Feb 26th
Yesterday's overnight market balanced above the daily time frame CHVN at 1920. There was little effort by sellers after the open, despite the price drop from the opening swing high. down to the 1921.25-23.25 support zone.
Underlying internals were not supporting a sell-off and once delta turned positive the market trended higher for the rest of the session.
The market has left weak structure below yesterday's low after the short covering rally left many anomalies in Wednesday's profile. (see yesterday's note)
The daily chart below shows the move away from the CHVN and range VPOC at 1920.00. This has continued higher overnight with the range currently 1948.00-68.75 versus settlement at 1950.50
The hourly chart below shows the breakout from the recent range and fib extended retracement levels for potential measured moves. If buyers continue to press this I'm looking for the 1979-82 area to get tested.
A look back to the January 6th/7th profiles shows the overnight high stopping 1 tick under the bottom of the small gap left between those days, and the nVPOC and settlement references above:
Zones I'm using today are below. Short term bias continues to the upside though the market needs to see good volume with the move if this is going to have any legs. Lots of data due today here. Below the 1947.75-49.75 zone we could see a short term liquidation move back through yesterday's range. The 31.50-33.25 zone will be key for bulls to hold.