05/18/2023 Synopsis
House Speaker's remarks on potential debt deal sends stocks higher.
Market Overview
The S&P 500 was up in today’s session. 7/11 sectors were positive.
Outperforming Index: 🟢 Nasdaq-100 QQQ 0.00%↑
Underperforming Index: 🔴 Dow Jones DIA 0.00%↑
Strongest Sector: 🟢 Technology XLK 0.00%↑
Weakest Sector: 🔴 Real estate XLRE 0.00%↑
Top Stock: 🟢 Take-Two Interactive Software TTWO 0.00%↑
Poorest Stock: 🔴 Target Corporation TGT 0.00%↑
US Treasury yields advanced.
2-year: 🟢 4.26% (+10.8 bps)
📈 Here is the broad market overview as of the current day’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: 🟡 Balance / inside week. [Last 6-weeks: 4062.25 - 4206.25]
Daily: 🟢 One time framing up and break out above recent balance zone. [Nearest low: 4161.25]
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. The auction was flat for the majority of the Asian session. When the European session opened, buyers were in control and lifted $ES_F above the prior day’s high. At 4183.75, supply absorbed demand and the market fell to new overnight lows on US economic data. Inventory during the overnight session was short going into RTH with overnight VPOC was 4168.75
Regular Trading Hours (RTH) Session:
The RTH open was inside the prior day’s value area and above the T+2 range. There was no gap between the previous day’s RTH range and the RTH open. When the US session opened, there was no supply as sellers couldn’t erase the overnight low. The auction rotated up with buyers lifting $ES_F above the overnight high and prior day’s high during B-period. $ES_F continued climbing until buyers could not consume supply at 4199.25, two standard deviations north of VWAP. Supply liquidated while no buyers were around and the auction fell down to the -1 standard deviation level. Supply was absorbed by trapped shorts, which prevented a retest of the B-period low. Buyers lifted $ES_F back above VWAP and through the 2nd standard deviation level, taking out supply at the E-period high. The auction broke the 4200 level and made a new session high (double top) at 4215.75 during O-period, during the American after-hours.