The markets opened with a substantial True Gap higher following the FED’s 50 bps rate cut, which shifted global sentiment to a “Risk-On” environment.

Early trade focused on opening range strategies, where short positions across major indices—ES, NQ, YM—as well as Crude Oil (CL), were triggered with several initial and secondary targets quickly fulfilled. Notably, the YM and ES fully met their downside objectives, while NQ experienced a stop-out before price action reversed.

The key pivot early in the session centered around the 5755 zone, aligning with the prior day’s high, the Globex Midpoint, and the dynamic VWAP. After a brief sell-side lean from the open, a buy response materialized around this level, helping sustain a bullish bias throughout the morning.

By midday, a core trading range of 5750 to 5785 was established, with the Point of Control at 5770 and dynamic VWAP near 5760, serving as critical inflection points.

As the session progressed, both ES and NQ fulfilled their Three-Day Cycle Targets at 5789 and 20095, respectively, supporting a long bias into the early afternoon. However, during the 2 PM “Shake n Bake” time frame, selling pressure emerged, with aggressive short-side probes becoming viable trades.

Despite some midday consolidation, bulls maintained control, and price held above the 5778.25 RTH Cash open, a critical pullback marker.

In the final 30 minutes of the session, selling intensified with an MOC (Market on Close) sell imbalance of $2.6 billion, pressuring the close as price gravitated towards the day’s midpoint, capped by an anchored VWAP from the high of the day.

The session wrapped up with the S&P 500 rising 1.7%, marking its first record close since July, amid the backdrop of Triple Witching on the horizon for tomorrow, signaling the potential for heightened volatility.