Market Analysis - 05.04.2020
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:
13.73
15.37
17 - GEX
17.88
18.50
Key Resistance Levels:
19.35
20.42
21.01
21.56
21.94
22 - GEX
Auction Profile:
Range bound
/CL futures are trading within the previous value area. Contracts likely to remain between 17.88 and 20.42 today, with upside risk elevated.
S&P 500
Key Support Levels:
2630.75
2699.75
2730 - GEX
2750.25
Key Resistance Levels:
2810.50
2846.75
2850 - GEX
2883.50
2945.75
Auction Profile:
Down auction
/ES futures are trading below the previous value area with selling pressure continuing to mount. Lots of liquidity between 2750.25 and 2810.50, which will likely hold price within that range. Downside risk remains elevated today.
NATURAL GAS
Key Support Levels:
1.75 - GEX
1.831
1.86
1.912
Key Resistance Levels:
1.971
2 - GEX
2.016
Auction Profile:
Range bound
/NG futures are trading above the previous value area. Rejection is coming in around 1.971, however, buyers are still present. Upside risk is elevated.
NASDAQ
Key Support Levels:
8374.50
8621.50
8500 - GEX
Key Resistance Levels:
8841.50
8963
8800 - GEX
9155.75
Auction Profile:
Range bound
/NQ futures are trading below the previous value area with support coming in around 8621.50. Downside risk is elevated with the next level of support coming in near 8504.50.
EURO
Key Support Levels:
1.08081
1.08319
1.085 - GEX
1.08726
1.09113
Key Resistance Levels:
1.09425
1.095 - GEX
1.10041
1.10482
Auction Profile:
Range bound
/6E futures are trading far below the previous value area as price was rejected strongly around 1.102. Support is now coming in around 1.09425 and could hold for the near term. Downside risk is elevated today.
BRITISH POUND
Key Support Levels:
1.2132
1.2222
1.2293
1.2361
1.24 - GEX
Key Resistance Levels:
1.2472
1.2544
1.264
1.25 - GEX
Auction Profile:
Range bound
/6B futures are trading far below the previous value area. Resistance is holding around 1.2472 as price whipsaws back and forth today. There is some support around the 1.24 level with downside risk elevated for today.
FINAL THOUGHTS
/VX futures increased again today, remaining elevated. Gamma dropped significantly on Friday indicating an increase in volatility in /ES price action. DIX rose sharply higher, showing institutions increased their buying again prior to the weekend. We continue to recommend keeping smaller contract size and using tighter stops.