NASDAQ futures are coming into Thursday gap up after an overnight session featuring elevated range and volume.  Price was balanced overnight, moving higher initially after Facebook reported earnings, then rallying again after 3am.  At 8:30am advance goods trades balance, initial/continuing jobless claims, and durable goods orders all came in better than expected.

At 1pm the US Treasury will auction off $29 billion in 7-year Notes.

Amazon, Microsoft, and Intel are set to report earnings after-market-close.

Yesterday we printed a normal variation up.  The day began with sellers driving the market to a new weekly low.  This discovered a responsive bid early in the day and we spent the rest of the day chopping sideways before ramping higher into the bell.

Heading into today my primary expectation is for sellers to work into the overnight inventory and close the gap down to 6554.75.  Look for buyers around 6532.25 and two way trade to ensue.

Hypo 2 buyers sustain trade above 6631 setting up a short squeeze up to 6700.

Hypo 3 sellers regain Thursday range, sustaining trade below 6532.25, setting up a move down to 6500.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Wednesday gap down after an overnight session featuring extreme volume and range.  Price was balanced overnight, churning in the lower quadrant of Tuesday’s trend down.

The economic calendar is light today.  At 10:30am crude oil inventory, 11:30am the US Treasury will auction off 2-year floating rate Notes, and at 1pm 5-year Notes.

Be aware Facebook reports after market close.  This is a NASDAQ mover.

Yesterday we printed a trend down.  The day began gap up and sellers quickly drove the gap closed.  Then sellers continued driving lower most of the session, closing a gap from 4/9 along the way, coming into slight balance late in the day.

Heading into today my primary expectation is for sellers to gap-and-go lower, down through overnight low 6475.50 and closing the  4/6 gap down at 6451.50 before two way trade ensues.

Hypo 2 buyers work into the overnight inventory and close the gap up to 6525 then continue higher up through overnight high 6538.75.  Look for sellers up at at 6562.25 and two way trade to ensue.

Hypo 3 stronger sellers press a move down to 6400 before two way trade.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Tuesday gap up after an overnight session featuring elevated volume on extreme range.  Price worked higher overnight, staying inside the Monday cash range.  As we approach cash open price is hovering above Monday’s midpoint.

On the economic agenda today we have new home sales and consumer confidence at 10am, 4- and 52-week T-bill auctions at 11:30am, and a 2-year Note auction at 1pm.

Yesterday we printed a neutral day.  The day began gap up which sellers quickly worked closed before a strong responsive bid stepped in ahead of last Friday’s low.  Buyers stalled out just beyond last Friday’s midpoint and we worked lower, down through the daily range making a new session low.  We ramped higher into the bell and then spiked a bit more to the upside after Alphabet reported earnings.

Heading into today my primary expectation is for sellers to work into the overnight inventory and close the gap down to 6665.50  From here we continue lower, down through overnight low 6654 before two way trade ensues.

Hypo 2 buyers gap and go higher, sustaining trade above 6700 setting up a move to take out overnight hgih 6717.75 before two way trade ensues.

Hypo 3 stronger sellers come in and we liquidate down to 6600 before two way trade ensues.  Stretch downside target is 6578.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Monday gap up after an overnight session featuring elevated range and volume.  Price was balanced overnight, sustaining trade in the lower quadrant of last Friday’s double distribution trend down.

On the economic calendar today we have MARKIT manufacturing/service/composite PMI at 9:45am, existing home sales at 10am, and a 3- and 6-month T-bill auction at 11:30am.

Also be aware Google parent Alphabet, Inc is reporting earnings after-market-close.  This is a NASDAQ mover.

Last week we chopped.  Some gap ups early in the week, gap downs later in the week.  Chop.  The Russell showed relative strength.  The last week performance of each major index is shown below:

On Friday the NASDAQ printed a double distribution trend down.  The day began with a gap down then a selling drive away from Thursday range.  Price continued lower before coming into balance just ahead of the week’s low.

Heading into today my primary expectation is for sellers to work into the overnight inventory and close the gap down to 6676.75.  From here sellers continue lower, down through overnight low 6660.  Look for buyers down at 6635 and two way trade to ensue.

Hypo 2 buyers gap and go higher, up to close the gap at 6777 before two way trade ensues.

Hypo 3 stronger sellers take price down to 6580 before two way trade ensues.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Friday gap down after an overnight session featuring elevated range and volume.  Price worked down below Tuesday’s low, Tuesday the conviction trend up day.  Shortly after price came into balance.  As we approach cash open price is hovering around inside yesterday’s lower quadrant.

There are no economic events today.

Yesterday we printed a normal variation down.  We started out gap down and drove lower.  Just below the Wednesday low a responsive bid stepped in but a session high was made in the first hour.  Sellers became initiative in the late morning and pushed us deep down into Tuesday’s trend up.  Much chop occurred here before an afternoon ramp took hold.  We ended the day well below the daily midpoint.

Heading into today my primary expectation is for buyers to work into the overnight inventory and close the gap up to 6777.  From here we continue higher, up through overnight high 6790.25.  Look for sellers up at 6791.75 and two way trade to ensue.

Hypo 2 sellers make a quick rejection down and out of the Thursday low 6755.25 setting up  a move down through overnight low 6733.75.  Look for buyers down at 6724.25 and two way trade to ensue.

Hypo 3 stronger buyers sustain trade above 6800 setting up a move to close the open gap way up to 6843.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Thursday gap down after an overnight session featuring elevated range and volume.  Price campaigned lower during extended trade, working down near the Wednesday low but ultimately holding prior day range.  At 8:30am Initial/Continuing jobless claims came out below expectations and Philly Fed came out better-than-expected.

Also on the economic agenda today we have leading indicators are 10am followed by a 5-year TIPS auction at 1pm.

Yesterday we printed a normal variation up.  The day began with a slight gap up which was quickly filled, then we continued to drive lower, working back down into the midpoint of Tuesday’s trend up before finding a strong responsive bid and spending the rest of the day auctioning higher.

Heading into today my primary expectation is for buyers to work into the overnight inventory and close the gap up to 6843.  Look for sellers up at 6845.50 and two way trade to ensue.

Hypo 2 stronger buyers work up to 6856.50 before two way trade ensues.

Hypo 3 sellers gap-and-go lower, sustaining trade below 6800 to set up a move down to 6761 before two way trade ensues.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Wednesday gap up after an overnight session featuring elevated range on normal volume—a trait unseen in globex for many months.  Price was balanced overnight, briefly taking out Tuesday’s high before settling into balance.

The economic calendar is light today—crude oil inventories at 10:30am and Fed Beige book at 2pm.

Yesterday we printed a trend up.  The day began with a gap up and and out of range which led to a gap-and-go higher.  The rest of the session was spent auctioning higher, offering little in the way of a pullback.

Trend day.

Heading into today my primary expectation is for sellers to work into the overnight inventory and close the gap down to 6828.50.  From here we cotninue lower, poking down below overnight low 6816.50 before two way trade ensues.

Hypo 2 stronger sellers trade us down to 6809.75 before two way trade.

Hypo 3 buyers work up through overnight high 6858.25 setting up a move to target the open gap at 6883.75 before two way trade ensues.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Tuesday gap up, out of range after an overnight session featuring elevated volume and extreme range.  Price worked higher all night, at first rapidly after Netflix reported better-than-expected earnings and guided higher Monday evening, then slowly throughout the night to levels unseen since late March.  At 8:30am housing starts and building permits both came in better-than-expected.

Also on the economic calendar today we have industrial/manufacturing production at 9:15am, a 4-week T-bill auction at 11:30am, and IBM earnings after-market-close.

Yesterday we printed a neutral extreme up.  The day began gap up in range.  Sellers worked the overnight gap nearly closed before a strong buy stepped in. Sellers worked a full gap fill later in the morning, eventually taking out overnight low by a few ticks before a responsive bid stepped in.  We traversed the entire daily range and eventually closed at session high.

Neutral extreme.

Heading into today my primary expectation is for buyers to gap-and-go higher.  Price trades up to 6774.75 before two way trade ensues.

Hypo 2 sellers work into overnight inventory and close the gap down to 6712.75 then continue lower, down through overnight low 6698.50.  Look for sellers down at 6694 and two way trade to ensue.

Hypo 3 stronger buyers sustain trade above 6774.75 setting up a move to target 6814.75 before two way trade ensues.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into the week gap up after an overnight session featuring elevated range and volume.  Price was choppy overnight, creating a balanced profile while trading inside of the Friday range.  At 8:30am advance retail sales data came out better-than-expected.

Also on the economic docket today we have business inventories at 10am, 3- and 6-month T-bill auctions at 11:30am, and long-term TIC flows at 4pm.

Last week markets worked sideways-to-higher in choppy, volatile action.  The last week performance of each major index is shown below:

On Friday the NASDAQ printed a normal variation down.  The day began gap up to new high-of-week.  Sellers drove lower closing the gap and eventually taking out the Thursday low before responsive buyers stepped in.  Sellers became initiative later in the day, making a new session low before the week’s end.

Heading into today my primary expectation is for sellers to work into the overnight inventory and close the gap down to 6659.75.  From here we continue lower, down through overnight low 6642.25.  Look for buyers down at 6639.75 and two way trade to ensue.

Hypo 2 buyers gap-and-go higher, up through overnight high 6698.  Look for sellers up at 6708.25 and two way trade to ensue.

Hypo 3 stronger buyers sustain trade above 6708.25 setting up a move to target 6750.25 before two way trade ensues.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Thursday gap up after an overnight session featuring elevated range and volume.  The first non-extreme globex session in several weeks.  At 8:30am initial/continuing jobless claims data came out below expectations.

There are no other important economic events today.

Yesterday we printed a neutral extreme down.  The day began gap down in-range, we filled with a hard move up early on.  Then we went range extension up before traversing down through the entire daily range and closing near the lows.

Neutral extreme down.

Heading into today my primary expectation is for a gap-and-go higher, up through Wednesday high 6663.25.  Look for sellers up at 6666 and two way trade to ensue.

Hypo 2 sellers work into overnight inventory and close gap down to 6592 setting up  a move to take out overnight low 6585.  Look for buyers down at 6578.75 and two way trade to ensue.

Hypo 3 stronger buyers sustain trade above 6666 setting up a move to target 6700.

Levels:

Volume profiles, gaps, and measured moves:

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