NASDAQ futures are coming into Thursday flat after an overnight session featuring normal range on elevated volume. Price worked down to a new swing low, down into the 09/12 range before finding buyers and moving back to unchanged. At 8:30am Initial/Continuing jobless claims came in slightly worse than expected.
Also on the economic calendar today we have ISM Non-Manufacturing composite, Factory and Durable Goods Orders, all at 10am.
Yesterday we printed a double distribution trend down. It was the second consecutive trend down. The selling was exacerbated at the closing bell after Facebook reported dismal 2017 guidance.
Heading into today my primary expectation is for sellers to work into the overnight inventory and trade down to 4710. Buyers show up ahead of the Wednesday low 4708.25 and we work higher, up through overnight high 4723.25. Look for sellers up around 4732 and two way trade to ensue.
Hypo 2 buyers work up through overnight high 4723.5 and sustain trade above 4732 setting up a move to target 4761.75.
Hypo 3 strong sellers work down through overnight low 4689.50 setting up a move to target 4649.25.
Levels:
Volume profiles, gaps, and measured moves:
weird open