NASDAQ futures are coming into Wednesday gap up after an overnight session featuring normal range and volume. Price worked higher for the entire Globex session with the initial rally being fueled by Apple earnings. The move pushed price up to levels unseen since December 8th. At 8:30am Durable Goods Orders came out well below expectation, -4.0% vs -1.4% expected.
Also on the economic calendar today we have Pending Home Sales at 10am, Crude Oil Inventory at 10:30am, the FOMC Rate Decision at 2pm and Facebook earnings after market close.
Yesterday we printed a normal variation down. The market drove higher after opening gap up and found responsive sellers right around the key market profile level highlighted in yesterday morning’s hypo 2. Sellers worked a hard-and-fast move down below value where we found buyers who pushed price right back to the middle of value and price stabilized into the end of the day.
Heading into today my primary expectation is for sellers to try and push into the overnight inventory a bit. Look for a move that attempts back into yesterday’s range 4682. Buyers reject a move below 4682 and we work higher to take out overnight high 4703. Prices probe higher, up to 4715.25 before two way trade ensues.
Hypo 2 buyers gap and go higher, take out 4715.25 and continue on to make new all-time highs.
Hypo 3 sellers work a full gap fill down to 4663.75 then take out overnight low 4662.25. Responsive buyers down at 4660 and two way trade ensues.
Levels:
Volume profiles, gaps, and measured moves:
Comments »