Had a look on the chart during coffee break and
Sharing one observation:
ever since I had VWAP on my chart I am finding this pattern recurring. If on lower timeframe (3 mins), ST crosses over VWAP (regardless of primary trend, but if in the same direction, higher probability) and you see a big contrast on Buyer and Sellers, the closing session will be a violent one.
As of now ST is in green and above VWAP on NF Dec Future + (against primary bias which is bad) + But too many sellers compared to Buyer (almost 2:1) as per the current stat' around 12:05 pm.
If this status remains as is (that ST does not go below VWAP till 2:30 pm), most of the sellers will run for the cover, taking the price much higher.
As usual - enjoying my time off from the market, but will watch the post 2-30 session to check if this holds good.
And one more thing to watch - the support (highlighted on green at spot level ) on the weekly Pivot, check earlier posts on this thread. As long as that holds good, chances of short-term pullback is good (in fact even I am waiting for that). Market appears to be bouncing perfectly from those level.
Sharing one observation:
ever since I had VWAP on my chart I am finding this pattern recurring. If on lower timeframe (3 mins), ST crosses over VWAP (regardless of primary trend, but if in the same direction, higher probability) and you see a big contrast on Buyer and Sellers, the closing session will be a violent one.
As of now ST is in green and above VWAP on NF Dec Future + (against primary bias which is bad) + But too many sellers compared to Buyer (almost 2:1) as per the current stat' around 12:05 pm.
If this status remains as is (that ST does not go below VWAP till 2:30 pm), most of the sellers will run for the cover, taking the price much higher.
As usual - enjoying my time off from the market, but will watch the post 2-30 session to check if this holds good.
And one more thing to watch - the support (highlighted on green at spot level ) on the weekly Pivot, check earlier posts on this thread. As long as that holds good, chances of short-term pullback is good (in fact even I am waiting for that). Market appears to be bouncing perfectly from those level.
This is more than 15th time I am noticing this pattern unfolding, mostly against day bias (catching the majority of traders on the wrong foot).
This might be taken to my test lab for further investigation on 2017 to check if I can build a system out this for Contra trading. Shall keep you posted.
The Key is:
ST crossing over VWAP + Majority of traders (as per order spread) against the ST + if this is happening around a major support zone (Weekly Pivot/ Cross Month D Fractal etc).