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Here's an updated chart. Note I don't use MACD or stochastics really, not even sure why these are on my chart.
First, I was using TS's continuous contract which for some reason wasn't showing volume correctly. It says it's dec right now but it wasn't, so I updated that to december.
We got really good volume today but look what price did. This is "almost HVC". If the range had been just a little lower it would have been HVC. Again, we have to know how to read these volume bars without the indicator. If you read the Master the Markets (or the other book by the same author) he explains why this is selling volume. It's easy really, on a really high volume bar around a swing high, if price closes towards the low it's selling volume. That means sellers came in and stopped the advance and pushed the price lower. If price finishes in the middle, it is a bit more neutral however it's still showing supply.
You have to ask "where did all those shares come from?". Someone is selling the breakout. Do they know more than those who are buying? I suspect it's the commercial hedgers and we'll find out on Friday. Until then we have to go off price & volume. No indicators are going to help us now.
I don't know why but I really have trouble seeing volume patterns on your ZB charts.
The one you highlighted didn't really pull back, it was more of a churn area which shows shares changing hands. Just not that many. So it's a low volume bar but not a pullback in my opinion.
