NASDAQ futures are coming into the Tuesday before Thanksgiving with a slight gap up after an overnight session featuring elevated range and volume.  Price worked higher overnight, without any seller confrontation until price neared the upper quadrant of Monday’s range around 3:30am New York. Price fell off the Globex high and eventually found balance, and as we approach cash open price is hovering above the Monday midpoint.

On the economic calendar today we have consumer confidence at 10am followed by 2- and 7-year note auctions at 1pm.

Yesterday we printed a normal variation down. The day began with a decent gap up inside last Friday’s range. Buyers engaged the tape on the open and spiked price up to the 12k century mark, which aligned nicely with the Friday naked VPOC. It was all sellers from here on. Price moved sharply lower until catching a bid around 11:15am, just a bit below last week’s low print. Buyers slowly rotated price back up to the daily midpoint. Sellers defended a first attempt through the mid, but the slow drift eventually reclaimed the mid and we ended the session right on it.

Heading into today my primary expectation is for sellers to work into the overnight inventory and close the gap down to 11,905. From here sellers continue lower, tagging 11,900 before two way trade ensues.

Hypo 2 buyers gap-and-go up through overnight high 11,979.25 and stall out just above at 11,982.25 before two way trade ensues.

Hypo 3 stronger buyers rally up to 12,036.50 before two way trade ensues.

Levels:

Volume profiles, gaps and measured moves:

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NASDAQ futures are coming into the holiday week with a slight gap up after an overnight session featuring elevated range and normal volume. Price worked higher overnight, working up near the upper quadrant of last Friday’s range before falling back into the middle of balance. At 8:45am this activity out of the White House caused a minor stir in the price of NASDAQ futures:

**White House Weighs New Action Against Beijing–Sources

— *Walter Bloomberg (@DeItaone) November 23, 2020

As we approach cash open, price is hovering right along last Friday’s midpoint.

On the economic calendar today we have PMI composite flash at 9:45am, 6- month and 2-year bill and note auctions at 11:30am and 3-month and 5-year note auctions att 1pm.

Last week was a bit of a chop fest. Little price discovery happened except for what we saw from the Russell 2000 which was bullish divergent. This suggests risk tolerance remains elevated. The last week performance of each major index is shown below:

On Friday the NASDAQ printed a neutral extreme down. The day began with a slight gap up beyond the Thursday range. After an open two-way auction sellers managed to close the small overnight gap before buyers made a small rotation higher and into range extension up. Said buyers never exceeded the Wednesday high. Instead we fell back to the midpoint and chopped along its topside for several hours. Late in the session a wave of selling pressed us into a neutral print and continued slashing lower into settlement. The move never made it through the prior session low.

Heading into today my primary expectation is for buyers to hold bids above 11,900 setting up a move up through overnight high 11,979. Look for sellers up at 12,000 and for two way trade to ensue.

Hypo 2 sellers work into the overnight inventory and close the gap down to 11885.25. This sets up a run down through overnight low 11,873.50. Look for buyers down at 11,800 and for two way trade to ensue.

Hypo 3 stronger buyers trade up to 12,035.75 before two way trade ensues.

Levels:

Volume profiles, gaps and measured moves:

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NASDAQ futures are coming into Thursday with a slight gap down after an overnight session featuring elevated range and volume. Price worked lower overnight, trading down near but not exceeding last Friday’s low. Since around 4am New York buyers have reversed much of the overnight selling. At 8:30am jobless claims data came out worse than expected. So far no reaction, and as we approach cash open price is overnight a few points below the Wednesday close.

Also on the economic calendar today we have existing home sales at 10am followed by 4- and 8-week T-bill auctions at 11:30am.

Yesterday we printed a neutral extreme down. The day began with a slight gap down that buyers quickly resolved during an open two-way auction. Shortly after the open sellers spiked price down through the Tuesday low but the move had no follow thru. Instead the morning low was set before 10am and we spent the rest of the morning auctioning higher. Buyers worked price up into the top quadrant of Tuesday’s range but could not take out the high. Instead price fell back down into the midpoint around 2pm and after buyers defended the mid once, they failed during a more rapid bit of selling late in the afternoon. The closing selling pressed us into a neutral print and closed out the session on the lows.

Neutral extreme down.

Heading into today my primary expectation is for buyers to work into the overnight inventory and close the gap up to 11,883.50. From here buyers continue higher, up through overnight high 11,903 before two way trade ensues.

Hypo 2 buyers buyers trade up to 11,941.50 before two way trade ensues.

Hypo 3 sellers press down through overnight low 11,804.50. Look for buyers just below at 11,800 and for two way trade to ensue.

Levels:

Volume profiles, gaps and measured moves:

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NASDAQ futures are coming into Wednesday with a slight gap up after an overnight session featuring elevated volume and range. Price worked down through the Tuesday low for a bit, poking down into Monday’s lower quadrant but not exceeding the low before popping back to UNCH. At 8:30am housing starts/permits came out slightly better than expected. As we approach cash open price is hovering below the Tuesday midpoint.

Also on the economic calendar today we have crude oil inventories at 10:30am followed by as 20-year bond auction at 1pm.

Yesterday we printed a neutral day. The session began with a slight gap down. Buyers were able to resolve the open gap during an open two-way auction and even took out the Monday high by a few ticks before sellers stepped in. Said sellers worked price back down to the Monday midpoint but were met there by a strong responsive bid. Said bidders worked price back up through the midpoint and we sort of chopped all over the mid until going range extension up around 1:45pm New York. After a bit more chop, some late day sellers pressed us into a neutral print. The day ended with price flagging along the lower quadrant of the day’s range.

Heading into today my primary expectation is for buyers to press up through overnight high 12,023 setting up a tag of 12,036.75 before two way trade ensues.

Hypo 2 sellers press down to 11,944 before two way trade ensues.

Hypo 3 stronger sellers press down through overnight low 11,916.50 setting up a tag of 11,900 before two way trade ensues.

Levels:

 

Volume profiles, gaps and measured moves:

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NASDAQ futures are coming into Tuesday with a slight gap up after an overnight session featuring elevated range and volume. Price popped higher overnight, trading up beyond the weekly high set Sunday evening around 8pm New York. The action saw price tag the naked VPOC from last Monday before coming into a tight balance. At 8:30am retail sales data came out a bit below expectations and more importantly Walmart earnings have the general retailers share off by -1.5% in pre-market trade. At 9:15 industrial production data came in as expected, and as we approach cash open price is hovering right along the Monday high.

Also on the economic calendar today we have business inventories and housing market index at 10am.

Yesterday we printed a normal variation up. The day began with a slight gap down and after an open two-way auction buyers quickly closed the overnight gap. The buying campaign continued higher, trading up and tagging the 12,000 century mark and going about 25 points beyond it before encountering any resistance. Then price checked back to the midpoint, went slightly below it, but buyers ultimately held the mid. Price ramped up into the closing bell and closed along the highs.

Heading into today my primary expectation is for buyers to work up through overnight high 12,096.25 and tag 12,100.

Hypo 2 sellers work into the overnight inventory and close the gap down to 12,025.75. From here sellers continue lower, down through overnight low 11,991.50 before two way trade ensues.

Hypo 3 stronger sellers trade down to 11,946.75 before two way trade ensues.

Levels:

Volume profiles, gaps and measured moves:

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NASDAQ futures are coming into Monday with a slight gap down after an overnight session featuring extreme range and volume. Price spiked Sunday evening when Globex trade opening, sending price up near last Monday’s VPOC before stalling. Price held the highs until about 7am when sellers began actively campaigning price lower. As we approach cash open, price is back inside last Friday’s range, hovering about ten points above the Friday midpoint.

On the economic calendar today we have 3- and 6-month T-bill auctions at 11:30am. Also be aware major U.S. employer and retailer Walmart is set to report earnings Tuesday before the bell.

Last week kicked off with a bit of a morning spike, then we faded lower through Tuesday morning. By late Tuesday morning a responsive bid had stepped in and put a floor in the markets. We gradually rallied higher for the rest of the week, never taking out the high prints set Monday. The last week performance of each major index is shown below:

On Friday the NASDAQ printed a neutral extreme up. The day began with a gap up in ranger that sellers quickly resolved after an open-two way auction. Said sellers continued worki lower, tagging the Thursday naked VPOC before discovering a responsive bid. The morning selling lasted long enough to press the market range extension down, but the rest of the session was controlled by buyers, who reclaimed the midpoint by noon New York and defended a check back around 2:15pm. Then we ramped higher into the close, not exceeding the Thursday high but pressing into a neutral print and closing on the day’s high.

Neutral extreme up.

Heading into today my primary expectation is for sellers to gap-and-go lower. Sellers are active ahead of 11,900 setting up a move down through overnight low 11,851.75. Look for buyers down at 11,815.75 and for two way trade to ensue.

Hypo 2 buyers work into the overnight inventory and close the gap up to 11,946. Buyers tag 12,000 then look for sellers up at 12,056.75 and for two way trade to ensue.

Hypo 3 stronger buyers pres up through overnight high 12,065 and tag the Monday naked VPOC at 12,087.75 before two way trade ensues.

Levels:

Volume profiles, gaps and measured moves:

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NASDAQ futures are headed into the fourth day of a new President-elect with a slight gap up after an overnight session featuring extreme volume on elevated range. Price was balanced overnight, chopping along the top-side of Wednesday’s midpoint until about 4am when buyers worked price up through the Wednesday high. Since then buyers rejected an attempt back into Wednesday range. At 8:30am CPI data came out softer than expected and jobless claims data slightly better than expectations. As we approach cash open price is hovering just above the Wednesday high.

Also on the economic calendar today we have 4- and 8-week t-bill auctions at 10am then a speech from Fed Chairman Powell at 11:45am. There is also a 30-year bond auction at 1pm.

Yesterday we printed a normal variation up. The day began with a gap up and after buyers held the bid above 11,700 during an open-two way auction buyers stepped in and drove higher, right up to 11,800. Chop ensued for several hours, chopping above the midpoint before a second rotation higher began around 12:15pm New York. We flagged along the highs for the rest of the session, eventually ending near session high.

Heading into today my primary expectation is for sellers to reclaim the Wednesday high 11,910.75 early on and close the gap down to 11,895.75. Sellers continue lower, down through overnight low 11,781.25 before two way trade ensues.

Hypo 2 buyers reject a move back into Wednesday high 11,910.75 setting up a run through overnight high 11,965.50. Look for sellers at 12,00 and for two way trade to ensue.

Hypo 3 stronger buyers rally up to 12,070.25 before two way trade ensues.

Levels:

Volume profiles, gaps and measured moves:

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NASDAQ futures are coming into the third full day of President elect Biden gap up after an overnight session featuring extreme range and volume. Price was balanced overnight, chopping along the Tuesday midpoint until about 3:30am when buyers broke range and proceeded higher. The buyers worked price up through the Tuesday high, and as we approach cash open, price is hovering up near the Tuesday high.

There are no economic events today.

Yesterday we printed a neutral day. The session began with a gap down below the prior three day range. After an open two-way auction sellers stepped in and worked price lower, pressing an early range extension down and taking out last Wednesday’s low by a few points. Then the auction reversed and pressed up through the daily high, going into a neutral print. Buyers could not however close the overnight gap. Instead we reverted back to the daily midpoint and ended the session chopping along it.

Heading into today my primary expectation is for sellers to work into the overnight inventory and tag 11,700. From here buyers step in, take out overnight high 11,785 and tag 11,800 before two way trade ensues.

Hypo 2 buyers gap-and-go higher, trading up through overnight high 11,785 then 11,800 and sustaining trade above it. This set up a run to 11,900 before two way trade ensues.

Hypo 3 sellers work a full gap fill down to 11,624. Look for buyers down at 11,600 and for two way trade to ensue.

Levels:

Volume profiles, gaps and measured moves:

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NASDAQ futures are coming into the second full week after the Presidential election with a big gap down after an overnight session featuring extreme range and volume. Price worked lower overnight, steadily chopping lower for the duration of the Globex session. Around 6am a responsive bid stepped in just a few point below last Wednesday’s low. As we approach cash open, price is hovering in the lower quadrant of last Wednesday’s range.

On the economic calendar today we have JOLTS jobs openings at 10am followed by a 10-year note auction at 1pm.

Yesterday we printed a normal variation down with a liquidation drop at the end. The day began with a gap up to near last week’s high. The open two-way auction formed a wide range before buyers stepped in and worked a bit higher, trading a few points beyond the 09/03 high, briefly tagging the 09/02 range (current all-time high session) before falling back down through the daily midpoint. From then onward action was choppy, chopping below the midpoint before working to a new low of the day in the afternoon. Price was steadily rotating lower until a sharp liquidation move downward took shape during the closing bell. We ended the session near the lows.

Heading into today my primary expectation is for buyers to work into the overnight inventory and not close the overnight gap but close the gap left behind on 11/4 at 11,791.25. Look for sellers to defend 11,800 and for two way trade to ensue.

Hypo 2 stronger buyers trade a full gap fill up to 11,861 then continue higher, trading up through overnight high 11,901.50 before two way trade ensues.

Hypo 3 sellers gap-and-go lower, trading down through overnight low 11,553 on their way to tagging 11,500. This could trigger a liquidation down to 11,300.

Levels:

Volume profiles, gaps and measured moves:

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NASDAQ futures are coming into the first week of the new President on the wings of a COVID vaccine announcement from Pfizer. The news has sent several major indices limit up in pre-market trade while the NASDAQ is up a modest +130. As we approach cash open, price is hovering just below all-time highs.

Also on the economic calendar today we have 3- and 6-month T-bill auctions at 10am followed by a 3-year note auction at 1pm.

Last week kicked off with a gap up. Sellers were active through about 2pm Monday then the rest of the week was a strong rally with breakaway gaps on Tuesday, Wednesday and Thursday. Friday had some early selling but it was eventually reversed and we closed out the weekend on the highs. The last week performance of each major index is shown below:

On Friday the NASDAQ printed a normal variation up. The day began with a gap down and drive lower. The sellers pressed into the gap zone below Thursday’s range before a responsive bid stepped in and returned price back up to the highs. We ended the day near session high.

Heading into today my primary expectation is for buyers to gap-and-go higher, trading up through overnight high 12,408.75 and probing beyond the high water mark 12,446.50. Look for sellers up at 12,500 and for two way trade to ensue.

Hypo 2 sellers press down to 12,200 before two way trade ensues.

Hypo 3 stronger sellers work a full gap fill down to 12,090. Look for buyers down at 12,000 and for two way trade to ensue.

Levels:

Volume profiles, gaps and measured moves:

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