Market Profile Analysis of S&P Futures – 04.13.17…

Market Profile Value Areas and POC figures for /ESM7 and /NQM7 Futures are posted free every morning HERE. Click on any posts in the list on the left pane to see them in the main window. Don’t click on the ST logo as it will just refresh the page and you’ll get only the topmost post over and over. Click on the title or text.

Continued chop around as markets seem like they want to push lower but get very little traction or follow through. This has me on alert for a rally. Truth be told I thought that it would have started already given the false breakdowns to the downside that we’ve seen. Earnings season is upon us and that will more than likely get things into gear.

Coming into today’s session (at 8:31am EST) S&P futures are currently trading down about 5 handles on overnight inventory that is just slightly net short. Current prices are putting futures below yesterday’s RTH low which means that we will open on a true gap down. That being said 2337.50 (yesterday’s RTH low) is of course the key upside level. A weak market will not trade into the prior day’s range or at best will be rejected quickly out of it, a stronger market will find acceptance back above that level.

A daily chart of the SPX cash would give some clarity to the noise that we are witnessing when working with only the day timeframe. Let’s have a look……

As you can see in the graphic above the market is stuck in a tightening wedge. The last two sessions in the S&P have tested the lower trendline but have not been able to break. Highs do seem to have been lower recently so that’s something to carry forward although not necessarily a signal that we will break. Could be but confidence is still low here in both directions. markets are closed tomorrow and as such these days that preceded 3 day weekends are often slower and exhibit lower volume.

Have a wonderful day,
peter
*PS Brad is off on Monday and I’ll be handling SquawkBox duties all day.*