NASDAQ futures are coming into Friday gap down after an overnight session featuring elevated range and volume.  Price worked to a new record high overnight before falling lower right around 8:30am.  At 8:30am Consumer Price index data was better than expected and advance retail sales data was below expectations.  Not sure if these data points moved the market.

There was also some news out of Facebook this morning that had the shares lower by as much as -4%.

The only other economic event scheduled for today is business inventories at 10am.

Yesterday we printed a neutral extreme up.  The day began gap up and after a brief morning rally, we traded lower, range extension down, and closed the overnight gap.  Then we traversed the entire daily range and rallied beyond it, closing near the highs, and earning the extreme designation to our neutral day.

Heading into today my primary expectation is for a battle at the open.  Look for sellers to test down through overnight low 6704 but look for buyers down at 6702.25 and then a move higher to close the overnight gap before two way trade ensues.

Hypo 2 stronger sellers trade down to 6690.75 before two way trade ensues.

Hypo 3 buyers work into the overnight inventory straight off the open, close overnight gap up top 6726.75 then continue working higher, up through overnight high 6744.50 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 normal range and volume.  Price worked higher overnight after spending most of the evening in balance.  At 8:30am initial/continuing jobless claims data came out mixed.

Also on the economic calendar today we have a 30-year bond auction at 1pm and a monthly budget statement at 2pm.

Yesterday we printed a normal variation up.  The day began gap down, down below the Tuesday range.  Buyers worked into the overnight inventory but were rejected from regaining the Tuesday range.  We then took out overnight low.  After that a strong responsive bid stepped in and we spent the rest of the day slowly working higher, eventually closing on session high.

Heading into today my primary expectation is for sellers to work into the overnight inventory and close the gap down to 6677.25.  From here we continue lower, down through overnight low 6664.25.  Look for buyers down at 6647.25 and two way trade to ensue.

Hypo 2 buyers defend ahead of 6670 setting up a move to take out overnight high 6697.75 and make a run to test record high mark 6707.25 before two way trade ensues.

Hypo 3 stronger sellers trade us down to 6622.75 before two way trade ensues.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Wednesday gap down after an overnight session featuring elevated range and volume.  Price worked lower overnight before eventually finding balance halfway down into last Friday’s double distribution trend.  At 7am MBA mortgage applications came out much stronger than last week.

Also on the economic calendar today we have crude oil inventories at 10:30am and a 10-year note auction at 1pm.

Yesterday we printed a normal variation up.  The day began with a gap up which sellers drove down into at the open.  Responsive buyers stepped in around the Monday midpoint and we spent the rest of the morning and lunch hour working higher, eventually taking out IB high briefly before drifting back down to the midpoint to end the day.

Heading into today my primary expectation is for buyers to work into the overnight inventory and test re-entry into the Tuesday range 6667.25.  Sellers defend here and we go down to take out overnight low 6640.50.  From here we continue lower, down to 6622.75 before two way trade ensues.

Hypo 2 buyers reclaim 6667.25 and work up to 6675.50 before two way trade ensues.

Hypo 3 stronger buyers sustain trade above 6675.50 and go up to take out overnight high 6692.  Look for sellers at 6694 and two way trade to ensue.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Tuesday gap up after an overnight session featuring normal range and volume.  Price worked higher overnight after spending most of the evening balanced.  As we approach cash open price is up above the Monday high.

On the economic calendar today we have JOLTS job openings at 10am, a 4-week T-bill auction at 11:30am, and a 3-year Note auction at 1pm.

Yesterday we printed a double distribution trend up.  Similar to last Friday. But with less upside velocity.  The day began with a gap down that buyers quickly resolved.  Then after some two way action price took out overnight high.  WE spent the rest of the day consolidating near the highs.

Heading into today my primary expectation is for buyers to gap-and-go higher, tradign up to 6725.25 before two way trade enuses.

Hypo 2 sellers attempt a move back down into the MOnday range 6690.75.  Buyers defend the attempt and we begin working higher.  Upside target is 6725.25.

Hypo 3 sellers regain Monday range and trade us down to 6655 before two way trade ensues.

Hypo 4 buyers sustain trade above 6725.25 setting up a trend day.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Monday gap down after an overnight session featuring normal range and volume.  Price held inside the upper quadrant of the Friday range.

The economic calendar is light this week.  Today we have a 3- and 6-month T-bill auction at 11:30am then Consumer Credit at 3pm.

Last week was a holiday shortened week.  The markets were closed Monday in observation of New Year’s day.  The rest of the week was spent trend up, with the NASDAQ leading the way.  The last week performance of each major US index is shown below:

On Friday the NASDAQ printed a double distribution trend up.  The day began with a small gap up. Sellers were unable to regain the Thursday range and we spent the rest of the morning slowly trending higher.  Then, after a sideways lull through most of the afternoon, initiative buyers stepped in and rallied the market into the weekend.

Heading into today my primary expectation is for buyers to work into the overnight inventory and close the gap up to 6668.25.  From here we continue higher, up through overnight high 6681.25.  Open air.  Look for sellers ahead of 6725.25 and two way trade to ensue.

Hypo 2 sellers press of the open, trade us down through overnight low 6653.25.  Look for buyers down at 6622.75 and two way trade to ensue.

Hypo 3 stronger sellers trade us down to the open gap at 6604 before two way trade ensues.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Tuesday gap down after an overnight session featuring normal range and volume.  Price worked up briefly to a record high, then lower in a session that was balanced overall.

The economic calendar is light today.  We had Housing starts/permits at 8:30am.  At 11:30am the US Treasury is auctioning off some 4-week T-bills.

Yesterday we printed a normal variation up.  The day began with a big gap up, nearly of the ‘pro’ variety.  The gap behaved in the breakaway variety, up to record highs then pushing a bit higher to form a normal variation up.

Heading into today my primary expectation is for buyers to work into the overnight inventory and close the gap up to 6534.50.  From here we continue higher, up through overnight high 6545.75.  Look for sellers up at 6573.50 and two-way trade to ensue.

Hypo 2 slower day, pushes up through overnight high 6545.75 then stalls out around 6550 settling into two-way trade.

Hypo 3 something more curious, a move down to close the open weekend gap down at 6499.  Look for buyers down at 6492.50 and two way trade to ensue.

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 normal range and volume.  Price worked higher overnight, nearly uncontested, probing up through open air as the index sustains record levels.

The economic calendar is light today.  We have the NAHB housing market index at 10am and a 3- and 6-month T-bill auction at 11:30am.

Last week markets worked higher across the board and went trend up into the weekend.  The last week performance of each major index is shown below:

On Friday the NASDAQ printed a trend up. The day began with a gap up inside of the Thursday range.  After a brief two-way auction the index went into trend mode and rallied all day long.

Heading into today my primary expectation is for sellers to attempt to work into the overnight inventory.  Look for buyers ahead of 6510, then a move up through overnight high 6539.50 before two way trade ensues.

Hypo 2 gap-and-go higher, move up to 6573.50 before two way trade enuses.

Hypo 3 full gap fill down to 6499 then a move down through overnight low 6497.50.  Look for buyers down at 6492 before two way trade ensues.

Levels:

Volume profiles, gaps, and measured moves:

 

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NASDAQ futures are coming into Wednesday gap up, up at record highs after an overnight session featuring normal range and volume.  Price worked higher, extending the rally seen yesterday.  At 8:30am durable goods orders came in below expectations.

Also on the docket today we have crude oil inventories at 10:30am and FOMC minutes at 2pm.

Yesterday we printed a trend day.  It began with a gap up and drive higher.  Most of the afternoon was spent in a tight, sideways zig-zag that we ended the day inside of.

Heading into today my primary expectation is for buyers to work through overnight high 6393 and slowly explore open air.  Gobble gobble.

Hypo 2 sellers work into overnight inventory and close gap down to 6379.50 then down through overnight low 6375.75.  Look for buyers around 6363.25 before two way trade ensues.

Hypo 3 liquidation is triggered and we give back the entire Tuesday rally. Look for buyers down at 6335.50.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into Tuesday gap up after an overnight session featuring normal range and volume.  Price worked higher for most of the night, uninterrupted, regaining the ground lost last Friday and Monday.

The economic calendar is light today.  We have Existing Home Sales data at 10am, a 2-year Note auction at 11:30am, and a 4-week T-bill auction at 11:30am.

Yesterday we printed a normal variation down.  The week began gap up and sellers slowly closed the gap.  Then we briefly went range extension down before two way trade ensued.

Heading into today primary expectation is for a gap-and-go higher, up through overnight high 6348.50.  Look for sellers up at 6354 and two way trade to ensue.

Hypo 2 sustained trade above 6354 sets up a move to target 6363.25.

Hypo 3 sellers work into the overnight inventory and attempt back into the Monday range 6329.25, struggling around here, but eventually closing the overnight gap down to 6315.75.  Look for buyers down at 6311.75 and two way trade to ensue.

Levels:

Volume profiles, gaps, and measured moves:

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NASDAQ futures are coming into the week gap up after an extended trade featuring normal range on elevated volume.  Price worked lower overnight, briefly trading below the low set early last Thursday before the day became a trend up.  Responsive buyers stepped in soon after price tested below the Thursday low and the rest of the session has been spent working higher.

The economic calendar is light during the holiday shortened week.  The only items on the docket today are a 3- and 6-month T-bill auction at 11:30am.

Last week most indices essentially marked time. The traded lower, then higher, then faded.  The performance of each major index is shown below:

On Friday we printed a double distribution trend down.  The day began flat and after a two-way auction sellers stepped in late in the afternoon and slowly worked price lower—down through the midpoint of the trend day seen Thursday.

Heading into today my primary expectation is for an early push up to 6331.50.  From here sellers step in and two-way trade ensues, eventually closing the gap down to 6312.75.

Hypo 2 sellers push into overnight inventory and close the gap down to 6312.75 then we take out overnight low 6291.25.  Look for buyers down at 6280 and two way trade to ensue.

Hypo 3 buyers sustain trade above 6332.75 setting up a move to target 6351.50 before two way trade ensues.

Levels:

Volume profiles, gaps, and measured moves:

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