MASSIVE resting SHORT inventory building as we trade through the 1000 level to new highs

By FulcrumTrader · August 3, 2009 · Filed in Daily Review

The after hours session Sunday night to Monday open was very strong with price trading to new highs several hours after the EU markets started trading. Monday’s cash session opened trading with an initial pullback, but from that point on it was numerous price rotations to new highs for the rest of the day. From the look of the Delta Volume Distribution, it appears that sellers used price rotations to new highs several times today to “shift” their held positions cost basis higher. The overall size of the held SHORT inventory in the cumulative delta continues to build, so we do have some inventory tension building up at this time. I would say at this point, tomorrow is shaping up to be a very reactive trade day!

Video 1



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