Canada's FAFO Moment - End Of Month Flows

ES NQ PRE-MARKET TRADE PLAN 06/30/2025

Well that did not take long. Canada poked Papa Bear and things got real quick. As I mentioned Friday’s dip was nothing more than a long liquidation which was a perfect buy opportunity into the end of the month flows. Now not 48 hours later Canada realized how unimportant they truly are in the whole scheme of things and backed off their Digital Services Tax. Now we wait for Trump to welcome them back into trade talks. The markets however are not waiting with NQ achieving ATHs overnight and the ES grinding it’s way to do the same. I figure they would want the ES making new highs around the same time Trump signs the “Big Beautiful Bill” on the 4th of July. Might get their before that though.

For the NQ there is no resistance overheard till the market decides so. We will have the overnight high and we will have the previous day’s range. If the gap holds you will want to go with it till it fills. If the gap fills then we will want to be short with acceptance inside previous day’s range. Simple as that. Any pullbacks inside PDR could find support at the GLOBEX open which is just above previous day POC. Deeper pullbacks I am watching 22650 and PDL for support.

The ES still has work to do. One of our resistance lines 6252.50 seems to be holding as resistance at this time. However, with the NQ bid I suspect this will fail to hold much longer and we could be looking at the 6264.25 sell zone as potential resistance. The problem is end of month flows are probably going to ramp this thing at some point today and if the Mega Caps stay strong and RTY stays bid, there is not much that could stop this other than lack of participation. As of now volume is pretty good.

So like the NQ I want to be long with the gap up. Resistance could come in at 6264.25 and then 6285.50. If the gap closes and they want to correct overnight inventory I would watch for pullbacks into GBX open and previous day POC. Deeper pullbacks could see 6200 but I do not see anything saying that is even a remote possibility at this time.

Risk On Risk Off?

Risk on but watch VIX and volume today. Maybe some profit taking on the open.

Good luck today. Be nimble. End of month flows and trade talk can come at any time.

Bish

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