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Good Friday morning,
FIRST THINGS FIRST: HAPPY MOTHER'S DAY TO ALL THE MOM'S THIS SUNDAY! WISHING YOU ALL THE VERY BEST! HAVE THE GREATEST DAY EVER!!!!
Now, back to the markets!
The move higher yesterday took some time to get started, but after the initial fade lower - which worked out well and almost reached the POC at 5649 - bulls bought the dip and up price went. Buyers really stepped in aggressively once President Trump started speaking about the trade deal between the US and UK, and upper targets were hit! First the VPOC at 5709, then the May 2nd high at 5725, and then our upper targets at 5740-5760. Yesterday's high was 5741!
Well, it was looking like smooth sailing for the bulls right up until about 3:35 p.m. EST when the sellers came back in aggressively and shed almost 50 points in the last 25 minutes of trading in the /ES!! The /NQ's lost almost 200 points in the same short amount of time! That and the fact that futures lost 5725 has caused me to be a bit more cautious today, but I am still bullish and the buyers continue to have the edge!
In the profile pic and key levels below, futures are up across the board and price is sitting just above half-back at 5697 and VAL (Value Area Low) at 5685.50. As long as price can hold 5685.50 and 5697, then the buyers still have the upper hand and look for moves higher, first to the POC at 5726.50, then the upper targets at 5730-5740. If tempo and momentum increase and upper targets are hit, then 5770-5780 is a possibility! Now, if sellers push price below 5685.50, then 5660-5650 would be the first stop, and then further liquidation would bring 5620-5610 into play.
Futures are trading at 5705 at the time of this writing.
VPOC Update: 5709 was taken out yesterday, and another new VPOC at 5649 was added below. Yesterday's low was 5653. We now have 6 above and back to 17 below.
TARGETS AND KEY LEVELS TO WATCH:
/ES upside target is: 5730 - 5740
Key Levels: 5697 1/2 Back and 5685.50 VAL
downside target is: 5660 - 5650
/NQ upside target is: 20,360 - 20,400
Key Level: 20,158 1/2 Back and 20,124 VAL
downside target is : 20,050 - 20,000
/RTY upside target is: 2040 - 2050
downside target is: 2020 - 2010
Economic Data: Very Light Day
Adriana Kugler Speaks @ 6:45 AM ET
Thomas Barkin Speaks @ 8:30 AM ET
Austan Goolsbee Speaks @ 10:00 AM ET
John Williams Speaks @ 11:30 AM ET
Christopher Waller Speaks @ 11:30 AM ET
Baker Hughes Rig Count @ 1:00 PM ET
Beth Hammack Speaks @ 7:45 PM ET
Hoover Monetary Policy Conference @ 7:45 PM ET
More Color By : Rich Rickus
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/ES - Key Demand $5675 with Supply at $5740-50
Bullish : Sellers trapped above $5675 looking to play a break and retest above $5680 long targeting $5710 then $5725
Bearish Buyers trapped below $5600 looking to play short after a break and retest below $5590 targeting $5580 then a break down into $5550
- SPY Key demand at then at $554-555 with Supply above at $562-561
Bullish Sellers trapped above $562 looking to play a break and retest from $563 long targeting $565 then a breakout mid high $566s
Bearish Buyers trapped below $554 after a break and retest below $553 targeting $551’s then a breakdown into $549’s
- /NQ Key Demand at $19700 with Supply above at $19950-19975
Bullish Sellers trapped above $19975 looking to play a break and retest above $20000 long targeting $20,100 then a breakout back into low $2200’s
Bearish Buyers trapped below $19700 looking to play short from below $19650 targeting $19550 then $19475
- QQQ Key Demand at $478 with Supply at $485
Bullish Sellers trapped above $485 looking to play a break and retest from $486 targeting $488 then a breakout into low mid $489s
Bearish Buyers trapped below $478 looking to play a break and retest short from $477 targeting $475 then $474s
Have a great day and a wonderful weekend!! Mom's rule! :-)
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