NASDAQ futures are coming into the week flat after an overnight session featuring normal range and volume. Price had a little jaunt higher overnight, inching its way up the low-friction ascent towards prior swing highs but stalled. There was little interest to participate during globex.
The economic calendar is dead. Just a 3- and 6-month T-bill auction at 11:30am.
Last week we rallied. The NASDAQ rallied all week long. It rallied harder after Wednesday. Until like Tuesday the Russell was selling. Then if formed a huge excess low, suggesting lot-o-demand was present. Then it rallied too. The US major indices rallied last week. Here is the performance of each major index last week:
On Friday the NASDAQ printed a double distribution trend up. The day began with a gap up-and-out of Thursday’s range. Buyers rejected a move back down into Thursday prices and we instead spent the rest of the day rallying.
Heading into today my primary expectation is for sellers to press down through overnight low 5837.75 setting up a move to target the open gap at 5796.25 before two way trade ensues.
Hypo 2 buyers work up through overnight high 5858.75 and tag the high volume node at 5880 before two way trade ensues.
Hypo 3 strong buyers trigger a rally up to 5821 before two way trade ensues.
Volume profiles, gaps, and measured moves:
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