Daily Plan 2.14.24

Welcome back everyone!

As most already know, CPI was released today and here was the results:

During the session I sent out an update over on X with my thoughts on the release after both the Emini and Nasdaq crushed through the short targets. Here is the tweet:

After I sent this out, both the Emini and Nasdaq experienced sharp moves, surging to new session highs. The Emini witnessed a 17-handle upside, while the Nasdaq rallied by 160 handles. Beyond the update, the market structure supported these movements, along with the selling pressure observed at the highs. The Nasdaq surged up to the swing VAH, a significant resistance level, particularly notable in a session marked by extreme volatility following an event (CPI). As for the Emini, the rally halted at my 4992 short target, prompting a sell-off that brought prices down to the swing VAH. In the Flow State video, I highlighted this as an area of interest where buyers were expected to intervene. Now, we're witnessing this prediction come true as not only did selling pressure lead to the VAH, but also found support here, resulting in a 37-handle bounce, retracing nearly all the selling observed in the cash session. Beyond the indices, Gold experienced a gap down post-CPI report, aligning precisely with the short level at 2008. Prices remained at this level throughout the session as volatility subsided. Oil, on the other hand, found support at the long level and reached a high right at the long target of 78.37, marking a 180 pip rally. Shifting focus to stocks, as anticipated, there were significant gap downs from the short levels, with rebounds coinciding with movements in the indices.

Now, let's dive into the analysis for the upcoming week!