The Nasdaq futures ended the day on Monday near the Weekly Pivot (4469), which represents a point of equilibrium.
The rejection of higher prices on Monday, however, and the return to ground zero, filling the opening gap, the Nasdaq futures completed a bit of technical housekeeping. The pink areas on the Volume Profile chart show filled gaps.
As noted yesterday, for the gap police, we had two remaining fugitives: 4419 and 4349. On Tuesday the gap hunts quickly resumed, closing the 4419 gap by noon Eastern. All that remains is the gap at 4349, which should fill in the next day or two. There is a relatively high volume node there also.
Try not to get bearish as this necessary and healthy process completes.
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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. If you would like to receive a primer on using Volume Profile, please click here: www.daytradingpsychology.com/contact
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