NASDAQ futures are coming into Friday gap up after an overnight session featuring elevated range on extreme volume. Price worked higher overnight, trading up to a new weekly high. As we approach cash open price is hovering at the week’s high.
Durable goods orders were supposed to come out at 8:30am and new home sales at 10am but the government shutdown has delayed the release of this data.
Yesterday the NASDAQ printed a normal variation down. The day ebgan with a gap up and small push higher. The rally was contained inside of Wednesday’s range. We chopped out for the rest of the day, riding long the composite volume point of control.
Heading into today my primary expectation is for buyers to gap-and-go higher, trading up to 6772.50 before two way trade ensues.
Hypo 2 stronger buyers trade up to the open weekly gap at 6792.50. Look for sellers up at 6808.75 and two way trade to ensue.
Hypo 3 sellers work into the overnight inventory and close the gap down to 6675.50. Look for buyers down at 6655.25 and two way trade to ensue.
Volume profiles, gaps, and measured moves:
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