Our weekly TPO Profile graphics for 31 May.
Plotted: Structural Support (blue), Resistance (red), and Points of Control (green).
The graphs show the monthly timeframe development (left)
of Apr's buyside directional phase, 85.60s-96s, followed
by May's Stopping Point, 97.30s, & Balance, 97.30s-90s.
Last week's development (right) of price discovery lower
implied challenge of 91.50s/90s would be key in this week's auction.
Our weekly statistical study plotting the key reference levels/weekly close for 31May, projected levels and inferential analysis for week ending 07Jun.
Result?...
The market auctioned lower early week from last week's Settlement, 93.40s, achieving the Stopping Point, 91.25s, at/near Key Structural Support, 91.50s. Following Balance, 91.25s-92s, initiated buying drove price higher into midweek, achieving the Stopping Point, 94.40s, at/near the Wkly 2nd Std Dev High.
Following midweek Balance, 94.40s-93.60s, price discovery higher continued, as the buyside auction continued to 95.30s into Fri's key NFP release. Following the release, initiated selling drove price lower, shaking out weak long inventory toward the Wkly POC, 93.80s, where the buy response quickly drove the market higher, achieving the Stopping Point, 96.40s, within the Key Overhead Supply Cluster, 94.50-97.30s, at/near the Avg Daily Range High. The market closed at/near 96s.
Ultimately, this week's auction confirmed 91.50s as Key Structural Support, paving the way for price discovery higher, however constricted, toward the Key Supply Cluster, 94.50-97.30s, overhead. The breakout above 94.50s, resulted in filling in of the low usage area, 94.50-95.50s, for most of the week.
These studies helped inform our subscribers of the Structural significance of 91.50/90s and the implications of the response at these levels. This week's response reflected the asymmetric risk to the sellside early in the week further providing quantifiable Structural and Statistical destinations above, in congruence with the market structure.
Holistic analysis based on the market generated data and probability logic.
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