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
Today I rolled over into MNQZ23 (December 2023 Micro NASDAQ 100 contract) as the contract expires next Monday.
Not a lot has changed in terms of economic activity and governmental action, and all the cracks, blemishes, and fundamental threats are still there.
The financial press still screams soft landing and low inflation and earnings optimism. Simultaneously though, the American consumer is very nearly tapped out. The strategic petroleum reserve is as low as it was in 1985, and since the Saudis intend to continue production cuts, gasoline and diesel prices will soar in all likelihood. When President Biden decides to shut down leases in Alaska for energy production, the only options are more expensive foreign importation of oil. That hurts consumers.
We will discuss this more later. Let’s get back to the charts.
Asia and Europe continued a rally in MNQZ23 that seemed initiated at the end of Friday’s session. Without really significant news until Wednesday, assuming nothing on the world events or political fronts go awry, we could perhaps see a rally continue.
If MNQZ23 rallies above the 15572 VWAP line, it could push through the swing high of 15599 to 15639 and perhaps even above the 15683 VWAP line to 15690 by Tuesday. If not, we could see a pullback in MNQZ23 back to price support around 15508, and if sellers press, all the way back to the swing low of 15451.75. Beyond that, there is room to fall back to 15411.75 and 15360.75 as there is no concentration of trading below 15451.75. We will simply have to see which side dominates the action.
I picked up 36 NQ points long per contract on Friday. I will have to see how things shape up with regard to my trade plan today before trading. I would hope that volume will increase from recently tepid levels.
That’s it for me today. I hope everyone has a good week and a fantastic Monday!
Today’s Economic Data Courtesy of Trading Economics dot com. Be sure to refresh the date at the top left.
