NASDAQ futures are coming into Tuesday gap down after an overnight session featuring extreme range and volume. Price worked lower overnight, trading down through the Monday low briefly before consolidating inside the lower quadrant of Monday’s range. As we approach cash open, price is hovering along Monday’s low.
On the economic calendar today we have JOLTS jobs openings at 10am followed by a 3-year note auction at 1pm.
Yesterday we printed a normal variation down. The day began with a gap up that sellers quickly resolved lower. Price stabilized along the unchanged line for a bit before buyers worked price back up near the opening prints. Buyers held the high line until about New York lunch when sellers pressed us range extension down. Selling pressure persisted throughout the afternoon until we ramped back up to the daily midpoint late in the day. Value never shifted lower despite us spending more time near the lows.
Heading into today my primary expectation is for buyers to work into the overnight inventory and close the gap up to 7830.75. From here we continue higher, up to 7848.75 before two way trade ensues.
Hypo 2 sellers press down through overnight low 7781.75 then tag 7741.75 before two way trade ensues.
Hypo 3 sellers ‘check back’ to the scene of the tariff talk rally, trading down to 7719.75 before two way trade ensues.
Volume profiles, gaps, and measured moves:
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