MrTopStep has been highlighting the 1950 area for a couple days now and said that a bid over that level would result in stops being run up to 2000 and last night in the overnight session the S&P 500 futures rallied higher to open the regular-trading-hours about 24 handles higher and run more buy stops to 1987 up nearly 50 handles on the day at the point at noon Chicago before sell programs knocked the index down over 40 handles in two hours. However the futures found support near yesterdays high and in turn rallied nearly 45 handles into the close on a market-on-close imbalance of $1.5 billion to the buy side, the first MOC buy imbalance in a couple weeks.
Friday’s economic calendar is light but that probably doesn’t matter, and it probably won’t matter if some desks are empty with it being the next to the last weekend of this summer season. The HFT’s and algo’s have been running the show and if they are hungry tomorrow they will gun for stops. Danny Riley always says “think like an algo”, well it’s difficult to know where the stops are at this point but the best bet is they exist on both sides of the market heading into tomorrow so we expect to see another two sided trade with early trends being faded.
Floor Pivots For Friday’s RTH E-mini
R3 2066.25
R2 2050.50
R1 2005.50
PP 1974.75
S1 1959.25
S2 1929.00
S3 1883.25
Friday’s Notable Earnings: Big Lots Inc (NYSE:BIG)
Friday’s Economic Calendar:
Jackson Hole Symposium
Personal Income and expend 8:30 AM ET
Consumer Sentiment 10:00 AM ET
- Open: 1963.00
- High 1990.25
- Low: 1944.25
- Close: 1989.50
- Volume: 3,513,928 total
- MOC: 1.5 Billion to Buy