Posted 7:50 am PST.
The key feature in today’s intraday update is the breakout mode opening range. Today had a strong unemployment report. The Emini closes at 10:15 am because tomorrow is the 4th of July.
The Emini gapped up to an all-time high, but is it at the top of a 5 minute channel, and just above the top of the weekly channel, so the breakout is probably going to be limited before there is a test down.
The market reversed down and up in the first half hour, and the range was about half of an average day’s range. This is a breakout mode opening. Traders will look for a breakout in either direction and then a measured move. With the prominent tails and big bars, the probability of a failed breakout is high and it is probably better for breakout traders to wait to see if the breakout is strong.
At 7:45, the Emini is in a triangle and in breakout mode. There is very little to do until there is a breakout up or down. If it is strong, traders will trade for a measured move. If it is weak, they will look for it to fail and then trade in the opposite direction.