Stock futures were mostly quiet with a bit of seller’s bias overnight until a brief moment ago when the ECB cut their benchmark interest rate. The decision sent the /ES futures to new swing highs. This development is interesting because it is very uncommon for swing highs to be established during the globex session.
Judging by the structure of the past rotations and the cumulative volume delta that has accompanied them, this move has the potential to continue much higher, with a current measured move target from 1777.75 – 1780.50. Achieving these goals would represent a successful flush out of most short sellers over the last week.
It will be interesting early on to see if we get a fourth day of aggressive selling at the open, and if we do, it will be significant to see what the sellers are able to accomplish. Because this overnight news/movement certainly puts an already exhausted seller base on their heels and if they flinch here we could see a major squeeze develop.
I have noted support reference levels on the following market profile chart, and my measured move target is above:
hope so
you and me both Wolf, you’v egot this
this piece has so many bullish undertones I could like to puke reading it.
Fade me when my objectivity vanishes