Price only reached one potential trade area this morning, the overnight low. As mentioned in the comments, the OL is an area to be careful today. Being careful generally means wait for the first push into the key price level, then a rotation, and then a second push before taking a trade. The tricky thing about the first push into the OL was that price came down and stopped one tick short before rotating back up. So was this (the 9:35 bar) a good first push down? In most cases, I would say yes. The next rotation down (the 9:39am bar) tested the low and pushed through. However the volume below the 1072 previous low was 676, too big for a little prints and not enough volume for traders to be trapped. Th high volume for the bar closed in the middle, another sign that traders are not trapped. Thus a decision needed to be made on whether or not to make this 9:35 bar as the first push into the OL. The big lots setup made a long trade awfully tempting and if the high volume node was below the low of the 9:35 bar, I think I would have pulled the trigger. The more conservative (and careful) approach was to make the 9:35 bar the first push into the OL and wait for a cleaner setup with better volume characteristics. The next rotation down broke through the lows again but this time did not stop.
As I mentioned in the commentary, there is no real reasons for traders to search for new fair value and move the markets this morning. Maybe later this afternoon we’ll get another push beyond the day’s high or low and another trading opportunity or two.