Tuesday Prep


Yesterday's narrow range RTH session was inside the prior day and built value below the overnight low and prior breakout point from Friday. The mid morning attempt higher failed to close all the single prints from Friday, and there was clear negative NYSE TICK divergence as the ES hit its high, showing a lack of broad market strength to continue higher. Volume was light at just 1m contracts.

Yields across the Treasury curve dipped in tandem with a sell-off in crude.

Across the other major indices, Nasdaq is the relative outperformer. The Russel has just tested the bottom of its daily balance area low, with the Dow mid-range of its upper balance area.


There was an initial move lower down to the top of the 58.50-59.50 zone, followed by a responsive buying move back into yesterday's range.

So far, the Globex range is 2259.50-66.50 on light volume.


The short term bias is neutral now the market is trading back inside balance. The long term bias remains bullish.

Zones Sheet