Wanted to post a chart picture of a market trading inside of value. What does this mean?
There is market acceptance of price perceived by the sellers and buyers. Market value has not shifted from Fridays action. One thing to note.... the
value area was created mainly from Fridays afternoon session. If prices do break above value, we will see significant resistance at Fridays high which is a cluster with S1.
If the markets break below value, this is also a break away from Fridays low range. This will indicate price rejection and will likely send prices lower to S2 or even S3.
Some trading strategies based on this pre-market information: Look to fade the value high with confirmation of tape. Both the value high and low can act as a bracket for todays trading session. However, the value low will probably hold stronger than the high because it is in line with Fridays low. Any break from value and look to use the the
VAH as support and
VAL as resistance.
I will post another chart after the market closes.
