Market Analysis - 02.26.2020
We provide key support and resistance levels for the following futures products daily:
Crude Oil (/CL)
S&P 500 (/ES)
NASDAQ (/NQ)
Natural Gas (/NG)
Euro (/6E)
British Pound (/6B)
CRUDE OIL
Key Support Levels:
49.31
49.10
48 - GEX
Key Resistance Levels:
49.66
49.97
50.56
51.33
52 - GEX
Auction Profile:
Down auction
S&P 500
Key Support Levels:
3116.50
3100 - GEX
3091
Key Resistance Levels:
3143.25
3156.50
3189.75
3200 - GEX
3221.50
Auction Profile:
Down auction
NATURAL GAS
Key Support Levels:
1.862
1.841
1.812
1.8 - GEX
1.778
Key Resistance Levels:
1.957
1.95 - GEX
1.901
Auction Profile:
Range bound
NASDAQ
Key Support Levels:
8800 - GEX
8731.75
8611
Key Resistance Levels:
8931.25
8983.50
9000 - GEX
9034
Auction Profile:
Down auction
EURO
Key Support Levels:
1.07962
1.08151
1.085 - GEX
1.0858
1.0889
Key Resistance Levels:
1.09 - GEX
1.09355
1.095
1.09751
Auction Profile:
Up auction
BRITISH POUND
Key Support Levels:
1.2865
1.29 - GEX
1.291
1.2926
Key Resistance Levels:
1.2948
1.2972
1.3 - GEX
1.3007
1.3053
Auction Profile:
Range bound
FINAL THOUGHTS
Crude oil futures are trading far below the previous value area denoting strong seller conviction. Currently, the price has strong support around 49, including elevated gamma exposure there. If price breaks below that area, expect a strong surge of selling to follow.
S&P futures as well as NASDAQ had huge downward movements yesterday as the outlook on the impact of the #coronavirus on global economies begins to hit home, with traders no longer betting on a near term recovery. Without some strongly positive news as a catalyst for risk on, expect both these contracts to remain subdued with likely movement downward.
Natural gas futures are currently out of balance, trading slightly above the previous value area. This indicates low conviction to the upside. While higher movement is the more likely outcome, there is no strong conviction on directional movement.
Euro futures have overtaken resistance to the upside of both the previous value area and resistance at 1.0889. This shows stronger buyer conviction, but the slow movement upward shows that this move lacks any real momentum. Possible upside potential here, but limited at best.
After beginning the overnight session within previous value, British pound futures have sunken well below that level. The strong push to the downside illustrates strong seller conviction. Look for range extensions downward throughout the day, especially if support at 1.2926 is broken.