Yesterday I noted that “Mondays belong to the bears” and forecast a morning sell off starting during the first 90 minutes that would head toward the unfilled gap around 4489, with eventual continuation to the lower boundary of the Upper Value Area, now at 4482. The Upper Value Area is colored light green on the chart and has this yawning gap.

While I do expect this gap to be filled sooner than later, the gap fill scenario is a bit obvious right now, and markets love to fade the obvious. So keep the 4482 target in mind for Tuesday, but trade what you see.

A Note on Volume Profile

The histogram on the left side of the chart shows the volume distribution in the Nasdaq futures for different periods of time. Key support and resistance levels are indicated by the peaks and troughs.

Reid_4-28-2015_NQ.png

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