The market remains overbought on multiple timeframes and stretched to upside constantly reignited by news feed. The China news never gets old for the Algos. Traders with a rational mind find that situation is unstable understanding that such moves are rarely sustainable. But for the Algos such consideration is not an issue. They follow the trend. As long as the price above moving averages they buy pullbacks regardless of the stock values.
Today's day session was a continuation of the move that started in Asian session. Despite being overbought the buyers got aggressive at the bell ring chasing the price and pushing it higher. I personally expected to see a pull back to get on board so I could manage my risk. It did not happen. But the market hit my and the price action showed a sign of profit takers. That was a cue for me to short the market. At the I flipped to longs knowing the Algos behavior during day sessions. Basically, the market still offered objective entries with controlled risk.
Watch the price development and the . 7840 level break would be a warning sign for the buyers. A strong rejection would turn the table around for the Algos and they will be selling the rips.