NASDAQ futures are priced for a gap down to start the week after a globex session that featured extreme range on elevated volume. Price opened Sunday evening to a gap down and spent most of the session working higher. The market managed to push back into the lower quadrant of Friday before sellers reemerged.
The only economic event scheduled for today is MBA Mortgage Foreclosures at 11:30am. Keep in mind we also have FOMC minutes scheduled for Wednesday afternoon.
Last week price worked lower for nearly the whole week. We had 4 gap down days, including a gap down to start the week.
Friday was a trend day down.
Heading into today my primary expectation is for sellers to push down into the overnight inventory and target the overnight low 4455. Then look for sellers to tag the CHVN at 4450 before responsive buyers step in and two way trade ensues.
Hypo 2 buyers work the overnight gap closed up to 4502 and stall. Sellers step in but cannot exceed overnight low 4455 before two way trade ensues.
Hypo 3 buyers close overnight gap 4502 then set their sights on overnight high 4517.50. Stretch target is 4533.75.
Levels, note my market profile charts went down this morning. I will update levels once I get them back up and running:
