The question was if the breakout failed or notThe market changed his mind several times, always producing valid signals which all did not follow throughMarket grinded up in the second half of dayWe have no follow through on that very bearish candle from the day before. This, in my view, is for now more bullish than bearish

Pre market narrative Post market summary The question is if what we saw the last two days with big news influence is an excess on the top or notWe open with gap down We get minimal fadeWe go down all day and create a liquidation b-profileWe close below the big balance area lowIt is a liquidation profile with 77 points of range. Not a trending day. As such it is not a total capitulation of buyers. But unquestionable we are down on the daily down after excess on the topExcess marks the end of one auction and the beginning of anotherThe next days will bring if we get  a) breakout fail and come back in balance area b) continuation to the downside or c) new balance

Pre market narrative Gap down after nfp which brings us into the 3 week balance area It is a gap down in a long environment To keep the breakout intact we would need to reject these lower prices If they accept these lower prices we would have a look above and fail Do not trust gaps. Look what they do when the bell rings Post market summary The market was upwards all day They did it slow as if they do not want to show their hand A simple thing like a trendline can be very helpful on these days to stay objective For me this rejection out of the balance area looks very positive. But as the wednesday move was very large and emotional there can of course happen more shake out before the market eventually grinds higher. Thats why we trade on the day timeframe.

The market is trying to roll overWe open with gap down after a large down spike so the market is already very short positionedOn the other hand if we really roll over we could test the lows of the year and get further down momentum todayNear zero fade. Starts like a gap and goWe fail to go lower with the ism newsThe rest of the day we are in an upside movement but the buyers do not accomplish anything. They are not able to close the gapBuyers had all opportunity to reject these lower prices hardly but they did notAlso sellers did not accomplish further follow throughWe end with value clean lower which of course is bearishAt the moment the d1 up-trend is broken and we rolled over in a new down-swing.The next days will show. Next week we have the mid term election. Tomorrow is nfp. You gotta love it :-)

Gap & go Market turned 3 points before low of year Ended with some short covering starting at 3 pm Market is very short now after falling more than 10% in a straight line .