Market Analysis - 04.03.2020
Updated: Apr 6, 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:
22.39
23.25
25 - GEX
25.10
26.05
Key Resistance Levels:
27.45
28.28
29.43
30 - GEX
Auction Profile:
Range bound
/CL futures rose greater than 7% overnight as news broke that OPEC+ may be reconvening. As the contracts are trading above the previous value area, buyers are currently in control. With a low volume node directly above the contracts, expect strong resistance between 27.45 and 28.28.
S&P 500
Key Support Levels:
2386
2411.25
2445
2450 - GEX
2489
Key Resistance Levels:
2550 - GEX
2554
2591.75
2619
2658.75
2694.25
Auction Profile:
Range bound
/ES futures are trading within a narrow range within the previous value area. Buyers and sellers have little conviction at this point. Once again, the most likely scenario is that price action rotates between 2445 and 2500.
NATURAL GAS
Key Support Levels:
1.50 - GEX
1.526
Key Resistance Levels:
1.565
1.611
1.655
1.678
1.7
1.717
1.74
1.75 - GEX
Auction Profile:
Down auction
/NG futures are again trading in a narrow range within the previous value area. Strong rejection at previous value area highs forecast continued downward movement. However, a strong rejection yesterday around 1.526 might continue to provide support.
NASDAQ
Key Support Levels:
7169.25
7200 - GEX
7415.50
7500
Key Resistance Levels:
7623
7750 - GEX
7758
7869
8000
Auction Profile:
Range bound
/NQ futures are again trading in a narrow range in the center of the previous value area. This indicates very little conviction from buyers and sellers. Once again, a range day between 7415.50 and 7700 is the most likely scenario.
EURO
Key Support Levels:
1.07119
1.075 - GEX
1.07962
1.08151
Key Resistance Levels:
1.0858
1.0889
1.09 - GEX
1.09355
1.09751
1.10
Auction Profile:
Down auction
/6E futures are trading below yesterday's value area showing temporary demonstrating seller control. Expect resistance if contracts get to 1.0889 and support at 1.07962.
BRITISH POUND
Key Support Levels:
1.1895
1.2027
1.2173
1.2239
1.225 - GEX
Key Resistance Levels:
1.2306
1.2389
1.2446
1.245 - GEX
1.2551
Auction Profile:
Range bound
/6B futures are trading below the previous value area showing stronger seller conviction. Expect continued downward movement today with possible support around 1.2239.
FINAL THOUGHTS
/VX futures continue to move lower as volatility has extended its decline over the past week. Gamma remains negative exacerbating movement in price action. DIX remains elevated, forecasting a near term bottom in /ES. While elevated volatility remains, continue to use lower leverage and a stop loss.