S&P 500 Futures Daily Insights for Wed 28 Dec 2022
Two consecutive Poor Highs materially raise the odds of further upside
GDR Model Insights for the Current Week
GDR Model Performance (2022): +13.73%
S&P 500 Total Return (2022): -18.35%
Market Tone: Transition (previous week: Potential Transition to Bearish)
Positioning: 0.00% Flat (previous day: 0.00% Flat)
S&P 500 Futures Market Profile Insights for Today
Near-Term Outlook: Bullish, careful of Balance High
The market opened within range yesterday, failed to meaningfully take out the previous day’s Poor High, and left behind another Poor High just one tick higher. For whatever reason, weaker-hands traders decided that this is a good spot to come in and sell the market down. In addition, yesterday and 12/22 show Excess Lows, and while the 12/23 Low doesn’t have a lot of Excess, it reaffirms the recent rejection of the current Balance Zone Low.
All these markers paint a Bullish near-term picture, however if the ES trades to the upside beware of the potential for rejection at the Balance Zone High back into range. Finally, do note that while 12/22 left behind an Excess Low, the structure near that Low isn’t great and there’s always a chance the market may revisit it.
Potential Market-Moving Events Today
10:00am - Pending Home Sales