NASDAQ futures are coming into Wednesday flat after an overnight session featuring normal range and volume. Price was balanced overnight, right along the top-side of our big value zone. At 7am MBA Mortgage Applications came in better than last week.
Also on the economic docket today we have Existing Home Sales at 10am then crude oil inventories at 10:30am.
Yesterday we printed a normal variation down. Price stayed inside Monday’s range after opening gap up. A brief expedition to range extension down was quickly rebuffed by responsive buyers (responsive relative to the Tuesday open, initiative relative to the Monday close) and we ended the day back at session mid; just like Monday.
Heading into today my primary expectation is for prices to drift higher, up through overnight high 4960 and up to new highs. Look for sellers up at 4971 and two way trade to ensues.
Hypo 2 stronger buyers work up beyond 4977.50 and sustain trade above it setting up a trend higher.
Hypo 3 sellers work down through overnight low 4950.25 and close the gap down at 4939 before two way trade ensues.
Levels:
Volume profiles, gaps, and measured moves:
