Market is reaching a balance 2. Day traders had a number of opportunities for responsive shorting. This is an alert to the position trader to go short. Commercial LDB data offers a sensitive way to measure value changes. Commercials buffer or 'cap' the market by selling if the price gets too far above value and by buying when the price goes too low.
Value lies between the upper and lower caps.
As price rises, the commercials identify upward trending support and, occasionally, resistance levels. At trend end, the commercials are the first to see it. This is essentially the same information independently found from the Volume and Overlays. Commercial Confirmation of the Volume and Overlay analyses adds substantially to one's market understanding and confidence.