Today in the live trading room after the morning inventory report something rather special unfolded in front of our eyes. The weak sediment that the CL is going to fall from the sky is on the table and everyone is ready to sit down and eat.
Possible Spring – As the report published and the demand to sell was evident the market gave its initial push to the downside getting everyone set in pure enjoyment. But behold as the huge amount of supply hits the market, guess who steps in and buys it up to no end.
You can see the buying start on the report candle in the photo above. Suddenly all those joyous sellers are getting nervous and stops get heavy on the depth. So guess who sees that, that’s right! Your stop gets filled as another wave finally vacuums up the mess and clears the way.
Spring Confirmed – No all of a sudden the demand to go long is in full force but the supply is given out like nibbles of cheese. Guess who is controlling the market’s direction?
Test of Spring – Then finally the deliberate move creates one more false look to the down side for that one last faithful seller to jump on board. Again finally met with strong buying pressure and the market is ready to resume it’s real direction once it has enough players on the wrong side of the field.
Jump on board and ride!
Test of Spring Youtube Video