NASDAQ futures are coming into Friday with a slight gap up after an overnight session featuring normal range and volume. Price chopped sideways overnight, chopping along the lower half of Thursday’s range. As we approach cash open, price is hovering just below the Thursday midpoint.
On the economic calendar today we have industrial production at 9:15am, followed by both business inventories and consumer sentiment at 10am.
Yesterday we printed a neutral day. The session began with a slight gap up and open drive higher. Buyers had price range extension up by mid-morning and defended a lunchtime test of the midpoint. Then they made a new daily high but stalled before taking out all-time-high. Instead responsive sellers reversed the entire morning move and pushed neutral. Said sellers eventually closed the overnight gap before late afternoon action took price back to the midpoint. We ended the session a touch below the mid.
Neutral.
Heading into today my primary expectation is for sellers to work into the overnight inventory and close the gap down to 11,174.75. From here sellers continue lower, down through overnight low 11,138/ Look for buyers at 11,100 and for two way trade to ensue.
Hypo 2 buyers take out overnight high 11,237.75 and tag the Thursday naked VPOC at 11,247 before two way trade ensues.
Hypo 3 stronger buyers take out all time high print 11,271.75 and tag 11,300 before two way trade ensues.
Levels:
Volume profiles, gaps and measured moves:
