Market Analysis - 03.13.2020
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:
26.05
29.43
30.82
32 - GEX
32.10
Key Resistance Levels:
33.53
35 - GEX
35.21
36.35
Auction Profile:
Range bound
/CL futures are currently trading above previous value area. Heavy volume has been traded at 33.53 making this price the POC for the past week. Look for this price point to remain sticky today. If economic relief is announced today by the US, expect a jump in prices to the next few levels of resistance. However, a move past 36.35 is unlikely and has strong resistance.
S&P 500
Key Support Levels:
2411.25
2489
2500 - GEX
2554
Key Resistance Levels:
2591.75
2619
2700 - GEX
2729.50
2782.50
2800
Auction Profile:
Range bound
/ES futures are currently halted due after a strong move to the upside in anticipation of US economic measures to be announced. Expect this excitement to be short-lived and unlikely to breach strong resistance around 2700.
NATURAL GAS
Key Support Levels:
1.75 - GEX
1.802
1.841
1.884
1.918
Key Resistance Levels:
1.966
1.995
2 - GEX
Auction Profile:
Range bound
/NG futures are up overnight and value area is completely above the previous value area. This shows strong buyer conviction. Look for these contracts to reach the upper resistance level around 1.995 barring any negative news catalysts.
NASDAQ
Key Support Levels:
6836.75
7169.25
7415.50
7500 - GEX
Key Resistance Levels:
7623
7800 - GEX
7869
8000
8168.25
Auction Profile:
Range bound
/NQ futures are halted after a large surge during the overnight session. Anticipation of US economic relief has caused sentiment to turn positive. As with /ES, we are expecting a buy the rumor sell the news type of event, as the uncertainty around the coronavirus continues into the future.
EURO
Key Support Levels:
1.10 - GEX
1.12125
1.12635
1.1293
Key Resistance Levels:
1.1344
1.13704
1.143
1.135 - GEX
1.15
Auction Profile:
Down auction
/6E futures continue to move downward while trading narrowly in the center of the previous range. This shows a lack of conviction from both buyers and sellers and a range day the most likely outcome. Downside risk is still elevated.
BRITISH POUND
Key Support Levels:
1.2306
1.2389
1.24 - GEX
1.2446
Key Resistance Levels:
1.2551
1.2763
1.2785
1.2841
1.305 - GEX
Auction Profile:
Down auction
/6B futures are down once again following the overnight session. Price is below the previous value area with strong rejection at 1.2636. Continued downward movement is the most likely scenario.
FINAL THOUGHTS
While VIX futures are down from their highs around 66, they remain above 50. Volatility will remain elevated into the near future and will effect all major markets. S&P and NASDAQ futures have both been halted until RTH due to positive movement today. We expect a continued upward climb in both indices until news is announced, then we expect the selloff will resume. Keep this in mind as you watch the markets.