Price, Price Spread, Lagged Price/Volume Spread, and Binary Price/Volume Indicator
Price and Total Volume With 50-period Moving Volume Average
Fibonacci Price Scale With Targets
I shall cut to the chase again this morning. Some selling overnight in Europe did not completely drive MNQH23 to the previous VWAP level of 12043, and there still seem to be buyers around to prop up prices this morning Eastern Standard Time this morning.
From Daily Chartbook, take a look at the composite PMI data, which was surprisingly strong:
Whereas the services and manufacturing PMIs were a bit weaker, with the 4-month average still in contraction:
In essence, if you trust the data (and there could be ample reason not to given what regional Federal Reserve Bank offices allow), the big numbers, prime rate, GDP, unemployment, and jobless claims will continue to be market movers until Congress, The Fed, and The U.S. Treasury get their monetary and fiscal houses in order. Don’t hold your breath waiting for the answer. Everything looks like a mixed picture. Traders will show us by pushing prices to the levels that seem accurate, even with all the Fed casino money in the mix.
The bullish breakout line sits comfortably or uncomfortably at the 12143.50 VWAP line. If we can get above that line, then it should be easy to erase the selloff action and rally back to 12165 and 12192. If MNQH23 falls back to 12064.50 and beyond to perhaps 12043 (another old VWAP line) 12015.50, and perhaps even 11985.50.
As I have said repeatedly, the battle for the 13+ handle or the 9-handle is not over. It might not even have fully begun yet. We are between two price levels in a futures market game of “Plinko”. Whoever shows up to drive the action wins the game.
I picked up the last 36 NQ points long before the data I mentioned above sank into MNQH23 and reversed. If I see something this morning that meets my criteria of volume and price momentum in either direction that breaks out from the 2-standard deviation points, I will trade. If not, I shall return again tomorrow.
Tomorrow likely is a more active day than today, but NO ONE KNOWS WITH ANY CERTAINTY. Protect your equity and ruthlessly trade your plan with precision and with reasonable targets.
More will come soon.
Economic Data Courtesy of Econoday dot com
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