"If this price action was occurring after the SPI hit the MAY highs (6035-65), then I would say the Markets are starting to unwind into June, and rotating back towards the monthly 50% levels....
Because this price action is occurring short of the MAY highs (6065) and early in the trading week, I have to view this price action is part of a Weekly pull back before it continues higher.
At this stage it's too early to tell whether markets are beginning to un-wind, even though around the MAY highs I'm expecting this to happen. Once again it will be dependent on US markets on Wednesday.
Support:- 5-day lows @ 5826
Today: Price pushes down into the 5-day lows, finds support and moves back towards the 3-day break @ 5878 and stalls for the day.
Price open and moves up into 5878 and then reverses back down into the 5-day lows 5826.....
Therefore I'm factoring in that the SPI won't be trading below support, and not spending too much time above 5878 (3-day low breakout).
And if the SPI moves much higher this week, it will be on the back of US markets rising up off support on Wednesday.
Note:- Price is trading outside the Filter, which often has a bias to push down 21 points on open before finding some short-term buying support.
SPI 16:00 Recap Today: opens lower pushes down 21 points moves up into 5878 and reverses back down into Support and 5-day lows and price rises up off support….
Just like the SPI moving down yesterday because of US markets coming down. It will be the same on Thursday, based on whether US markets rise up off support on Wednesday.
Price action played out precisely to today's morning report, just like most morning reports I must say...
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