NASDAQ futures are coming into Tuesday with a slight gap up after an overnight session featuring extreme range and volume. Price initially drove lower overnight, pressing down through the Monday low and about a quarter of the way into last Wednesday’s range. Then price stabilized and we balanced below the Monday range until about 4:45am New York when buyers reclaimed the lows. Since then price has rallied to tag the Monday midpoint briefly, and as we approach cash open price is hovering along the Monday lows.
On the economic calendar today we have JOLTS at 10am, 6-month bill nd 3-year note auctions at 11:30am. Then we have 3-month bill and 10-year note auctions at 1pm.
Yesterday we printed a neutral extreme down. The day began with a gap down below the prior two days ranges. After a brief open auction outside range buyers stepped in and drove higher, effectively closing the overnight gap and continuing higher up through last Friday’s midpoint. Buyers stalled after a brief range extension up and sellers pounced on the tape. Said sellers reclaimed the daily midpoint by about 1:15pm and the defended the mid, setting up a liquidation into settlement that pushed us into a neutral print.
Heading into today my primary expectation is for buyers to press up to 14,859 before two way trade ensues.
Hypo 2 stronger buyers test above Monday high 14,897.25, setting up a run to 14,950.
Hypo 3 sellers press down through overnight low 14,586.50 before two way trade ensues.
Volume profiles, gaps and measured moves:
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