Early Update

Here is a 5 minute bar chart showing trading in the e-minis during yesterday's and today's day sessions.

I have been looking for a demand shock which will show up as a wide range, uncorrected, high volume upmove, but so far none has appeared. Volume early today was higher than yesterdays unusually low volume at the same time but not as big as would accompany an early-day demand shock. After reacting about six points the futures have moved to their January 19 high at 865, but volume is lower on this move than it was earlier today. I am guessing that this means the market will react once more from these levels before moving higher as I expect it to.

Yesterday we saw two reactions of 13 and then 11 points (blue rectangles). A similar reaction from 865 would carry the e-minis down to 852-54 and I shall be an interested buyer near those levels. I also plan to get long if we see a high volume breakout above 865.