Prices rallied during the overnight session and early into the regular session opening period but left a large gap on the chart in doing so. Prices appeared to be making an attempt to fill that gap but bounced early and are now trending higher. The target to fill the gap is down at 7397.25 should prices turn lower again.
At the moment, it looks as if prices could have found a bottom, but I still think that there is a possibility of prices filling the gap before this day is over. Prices made a perfect measured move down after breaking out of the pink range, so that could mean that will be the lows of the day for now at a minimum, if not the rest of the day.
No matter how this day plays out, expect mixed trading at times. Even though there is a bounce at the moment, the trend and bias could turn lower again at any moment in an effort to fill the gap. Like always, follow the price action and go with what the chart is showing you, and not what we think should happen. You should always be attempting to form an opinion on direction, just never sell out to that thinking. Always be ready to be wrong and re-evaluate if prices are not moving as expected.
