Review & Plan - Thursday


The strong rally overnight yesterday left a large gap on the open, and the day session low at 2042.25 was a tick above the most traded price of the past 5 years at 2042.00. With support above that level buying stayed strong all day and targeted the swing high from last Friday at 2064.75. Bonds sold off heavily in the afternoon .


The range currently is 2056.50-73.75 after initially spiking higher on the open following release of the bank stress tests. Jobless claims came out in line with expectations.

The 60 min chart below with weekly and composite profiles shows the move back through the composite high volume area, now finding resistance at lows from last week. Last week's VPOC was at 2077.75. 

2062.00 is a high volume node on this week's profile which could be key support for today.


Using 2062.00 as a bull/bear pivot today - acceptance below puts risk of move back to 42 and possible gap fill down to 29. Support at 62 keeps short term bulls in the driving seat with an open gap above to Thursday's low at 2089 potential expected high range extreme. End of quarter trading day so institutional flows likely to continue.

Zones for today: