05/11/2023 Synopsis
Producer prices below expectations and surging jobless claims leave stocks mixed to lower.
Market Overview
The S&P 500 was down in Thursday’s session. 3/11 sectors were positive.
Outperforming Index: 🟢 Nasdaq-100 QQQ 0.00%↑
Underperforming Index: 🔴 Russell 2000 IWM 0.00%↑
Strongest Sector: 🟢 Communications XLC 0.00%↑
Weakest Sector: 🔴 Energy XLE 0.00%↑
Top Stock: 🟢 STERIS plc STE 0.00%↑
Poorest Stock: 🔴 The Walt Disney Company DIS 0.00%↑
US Treasury yields retreated.
2-year: 🔴 3.89% (-0.8 bps)
📈 Here is the broad market overview as of the Thursday’s close.
S&P 500 Breakdown
📈 Here is a breakdown of the S&P 500 by sector, style and top holdings.
E-mini S&P 500 Top-Down Analysis
📈 Below are the monthly, weekly, daily and 4-hour charts for $ES_F.
Monthly: 🟢 Higher low. [Nearest Low: 4068.75]
Weekly: 🟡 Outside week. [Last 5-weeks: 4062.25 - 4206.25]
Daily: 🟡 Inside day. [Last 4-days: 4112.25 - 4173.25]
E-mini S&P 500 Metrics
Recent Performance & Technicals
E-mini S&P 500 Volume Profile
ES ETH/RTH Split Volume Profile
📈 Here is a chart of the past few sessions with a daily ETH/RTH split Volume Profile:
ES VWAP/Volume Profile Levels
Session Recap
Electronic Trading Hours (ETH)
Overnight Session:
Wholesale was long at the prior day’s close. The overnight open was inside the prior day’s value area. Inventory was long during the Asian and London sessions. Buyers failed to take out overhead supply and the prior day’s high. At 4168.50, there was a triple top weak high, in which buyers were absorbed by supply. Inventory rotated short as supply liquidated and wholesale was looking for buyers. $ES_F fell 24-points down to 4144.50 and three standard deviations south of VWAP. Shorts covered here to stabilize the auction. When PPI numbers were released, there was a 20-point push higher that failed to accept over VWAP. This move then corrected with supply continuing to sell off and make new overnight lows just prior to RTH. Inventory during the overnight session was short with long investors offsides. Overnight VPOC was 4162.
Regular Trading Hours (RTH) Session:
The RTH open was inside the prior day’s value area and inside the T+2 range. There was no gap between the previous day’s RTH range and the RTH open. There was no bid at the open with $ES_F falling 20-points in A-period, below the overnight low. In B-period, buyers in the form of shorts, covered and prevented the auction from testing the prior day’s low. Shorts lifted the auction above VWAP as it one time framed up from B through E-period. There was supply at 4144.50, slightly above the weekly-anchored VWAP. The market consolidated in this area before selling off in H and I-period. $ES_F failed to test the B-period low before supply was absorbed by bidders. These buyers lifted the auction from 4124.50 back over VWAP to 4146.75. Longs couldn’t fill the offers at this price level and $ES_F consolidated sideways until the RTH and ETH close.