Nasdaq Up 2.6% As Fed Talks Lower Rates

Charts, Commentary, News, Stocks, Technical Analysis, The Opening Print


Index Futures Net Changes and Settlements:

ContractSettlementNet Change+/-%
S&P 500 (ESM19:CME) 2805.00+55.50+2.01%
DowJones (YMM19:CBT)25,346+477+1.91%
Nasdaq 100 (NQM19:CME)7179.25+185.50+2.65%
Russell 2000 (RTYM19:CME)1506.90+34.60+2.35%

Foreign Markets, Fair Value and Volume:

  • In Asia 9 out of 11 markets closed higher: Shanghai Comp -0.03%, Hang Seng +0.50%, Nikkei +1.80%
  • In Europe 11 out of 13 markets are trading higher: CAC +0.52%, DAX +0.39%, FTSE +0.47%
  • Fair Value: S&P +0.52, NASDAQ +3.71, Dow +11.84
  • Total Volume: 1.82 million ESM & 848 SPM traded in the pit

*As of 7:00 a.m. CST

Today’s Economic Calendar:

Today’s economic calendar includes MBA Mortgage Applications 7:00 AM ET, ADP Employment Report 8:15 AM ET, Richard Clarida Speaks 9:45 AM ET, Raphael Bostic Speaks 9:45 AM ET, PMI Services Index 9:45 AM ET, Michele Bowman Speaks 10:00 AM ET, ISM Non-Mfg Index 10:00 AM ET, EIA Petroleum Status Report 10:30 AM ET, Eric Rosengren Speaks 1:15 PM ET, and Beige Book 2:00 PM ET.


S&P 500 Futures: It Takes Days And Weeks To Knock The S&P Down And Only One To Bring It Back

Chart courtesy of Scott Redler @RedDogT3$spx futures +15 as markets get some upside follow thru to yesterday’s oversold bounce.

As we all know, it’s all about the news. After six weeks of lower prices, the S&P went charging higher. The Nasdaq was the clear leader. After falling 1.95% on heightened regulation Monday, it closed up 2.65% yesterday.

You had to know when people started talking about a tech bubble that there was going to be a bounce, and with the exception of an early pullback, both the ES and NQ went straight up.

Monday’s late strength followed through into the Globex session, with the S&P 500 futures (ESM19:CME) printing a low at 2744.00, then rallying the rest of the session to open Tuesday’s regular trading hours at 2769.25.

After a quick dip down to 2764.00 just after the 8:30 CT bell, the ES continued to rally on the heels of a bundle of buy programs that seemed to trigger every 15 to 30 minutes. By 11:00 it had rallied all the way up to 2791.75, and would eventually go on to break through 2800.00.

Going into the close, when the cash imbalance reveal showed $494 million to sell, the ES continued to rally, and would go on to print 2803.50 on the 3:00 cash close, and 2805.25 on the 3:15 futures close, up +55.75 handles on the day.

In the end, the overall tone of the ES was strong, making back all of Monday’s losses, and then some. In terms of the days overall trade, total volume was on the high side, with 1.8 million futures contracts traded.


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Daily HotSpots

HotSpots are times during the market trading session that for the past XX days have consistently moved in one direction or the other. These HotSpots are published each morning pre-market. The next day, a results post is also published and weekly a summary post.

CAUTION: This data is under development and provided only for research and teaching purposes

If you have questions about HotSpots you can contact us at info@mrtopstep.com.

ES_FLONG
TypeEntryExitTrade %Profit %PointsHeatMap
normal-2113201352860.0244.25chart
normal-1309521035850.0383.75chart
normal-1113201352910.0115.00chart
normal-812191249880.0120.75chart
normal-5095210351000.0248.75chart
taylorPlus-13115212401000.0253.00chart
taylorPlus-11115212401000.0246.50chart
taylorPlus-8115212421000.0249.50chart
taylorPlus-5115212411000.0141.50chart
taylor3-2112481347810.0141.50chart
taylor3-1310451116920.0253.75chart
taylor3-1110391116910.0252.25chart
taylor3-8103911161000.0144.00chart
taylor3-5104111291000.0132.75chart
ES_FSHORT
TypeEntryExitTrade %Profit %PointsHeatMap
normal-2113591457-81-0.01-34.75chart
normal-1313591455-92-0.02-56.75chart
normal-1113591453-91-0.02-54.75chart
normal-813591453-100-0.02-48.00chart
normal-514031439-100-0.01-39.00chart
taylorPlus-2109401013-81-0.02-68.50chart
taylorPlus-1309401013-85-0.01-25.50chart
taylorPlus-1109401013-91-0.01-25.00chart
taylorPlus-809391013-87-0.01-17.25chart
taylorPlus-509391013-100-0.01-21.25chart
taylor3-1115071550-91-0.01-34.75chart
taylor3-814531547-100-0.02-53.25chart
taylor3-514461542-100-0.02-47.75chart

Get all of today’s HotSpots here



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As always, please use protective buy and sell stops when trading futures and options.

Disclaimer: Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. Any decision to purchase or sell as a result of the opinions expressed in the forum will be the full responsibility of the person(s) authorizing such transaction(s). BE ADVISED TO ALWAYS USE PROTECTIVE STOP LOSSES AND ALLOW FOR SLIPPAGE TO MANAGE YOUR TRADE(S) AS AN INVESTOR COULD LOSE ALL OR MORE THAN THEIR INITIAL INVESTMENT. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS.

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Danny Riley (2941 Posts)

Danny Riley has worked in the futures and options industry for 38 years, including the CBOT’s bond room, where he worked for several of the Market Wizards. He went on to build the largest volume desk in the S&P 500 Index Futures, serving some of the largest banks and hedge funds, the UBS program trading business, and some of the world's top individual traders. As a leader and co-creator of the MrTopStep IM-Pro Trading Room, he shares trading ideas and breaking market news live from the floor with our other professional traders and new traders eager to experience the power of collective intelligence. Join us today and get the edge only social trading can give you.


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