Wednesday, April 22, 2009

Catching a Market Transition

If you click on the Market Delta chart for this morning's trade, you'll be able to see how selling pressure (transaction volume at bid) dried up early in the session per the intraday Twitter post. This led buyers to come into the market and first hit the VWAP target (red line on chart), then take out the preopening highs, following the NQ leader. This transitional pattern sets up frequently and on varying time frames.