A slow, low volume start to the week was inside Friday's initial balance. The 87-89 zone didn't hold though we didn't see a liquidation break down into the 78 area which I was looking for. Instead, the poor low that was left at 83.50 was a sign that sellers didn't have enough weight behind them and now shorts continue to get trapped, as we've seen overnight.
The overnight range is currently 2284.00-94.00 on light volume. The overnight vpoc has built above yesterday's range and we could either see some inventory adjustment after the open or continuation higher to put the squeeze on shorts again.
The initial support zone for today is at 85.25-87.50 and initial resistance zone at 94.00-96.75. The overnight mid at 89.00 which coincides with yesterday's VAH may also be a level we see a response by buyers. Volume, momentum and strong market breadth are needed to push through the IR and challenge the all time high. If initial support breaks I'm more cautious on longs until either down to the 76.75-78.75 support or back above 87.50.
Adjusted zones for today below: