Volume Patterns: Stopping Volume
The Emini closed up 1.75 points at 1,454.50 on Monday. Today was another quiet day with a daily range of only 5.50 points and 0.6 million contracts traded. Investors and traders must be taking an extended break over Easter.
The Emini is starting to move into over-bought territory. The Composite Trend Oscillator reading has reached +55 on a scale of -100 to +100. In addition we had both Stopping Volume and Larry Williams Oops patterns today. Check out the Emini chart above.
The Stopping Volume pattern is one of my favorites for highlighting possible turning points. You can read more about it here. This is the first sign of weakness in this latest up move. But we’ll need to wait for confirmation over the next couple of days.
The Larry Williams Oops pattern shows non-professionals were overly bullish at the open and allowed professionals to take some profits. You can read more about it here. However, the Emini barely closed below yesterday’s high and so selling was not wide spread.
Good luck Emini trading over the next couple of days.