Rogue Volume!
Hi all,
I thought I'd post here as I didn't want to disturb the flow on "no indicators", hope you'll all still add your opinions though.
I've noticed that Fridays can often demonstrate behaviour which indicates that all the business is done in the morning session so that everyone can then got to lunch and let themselves lounge around in the afternoon allowing lunch to digest! 😆 Today seemed to be one of those days, with a lovely ten point move north off a nice reversal pattern on the 5 min chart during the morning. Post 10:30 there was little to speak of in volume, with even nothing appearing after 14:00.
To me there was little to indicate the big drop which occured at 14:50, but maybe I'm missing something. I saw a strong support level at 1135.5, with a double bottom formed by the swing lows at 12:05 and 13:10. I was in fact on a cheeky short which I had initiated due to the sequence of lower highs on both the 10 and 5 min charts. I closed at a small profit due to the approaching support and the potential for a triple bottom.
I actually had a bit of a laugh to myself as I saw three very quick points slip through my fingers on the spike down - I guess it's good to have a chuckle every now and then to remain sane. 😉
My main question is this, and it occured to me after I saw the huge volume appear with this bar. I see this as a combination of sequential stops being mowed down, and the big boys coming in to protect their long positions, as clearly they we're not letting it go down!
My after thought was this though - How much of this would be automated system trading, and how much can be attributed to big boys being woken from their slumbering state after a long lunch? 😆
I'd be interested in all thoughts but especially those with regard to the volume.
Cheers
Q
PS - in hindsight, maybe this is an odd looking Adam and Eve top with a thicker than normal Adam, and a rather under-endowed Eve? 😱
