Jobs Data Fail

"Markets pause to catch their breath, as anticipation builds for the next move —sometimes, it's not the data itself, but the reaction that defines the trend."

Hello, my friends!

Today brought two major news events shortly after the New York open, creating waves of volatility in the markets.

As always, my mission is to capitalize on these movements, staying sharp and reactive to market triggers.

The job data and economic indicators set the stage, and it’s my responsibility to navigate the swings, using every tool at my disposal to maximize the opportunities.

Let’s dive into today’s action and explore how we can use this volatility to our advantage!

🏙️Range-bound Market - 1.61% Impulse!

The Nasdaq kicked off today by holding a key demand area in pre-market, setting the stage for an exciting open.

As the New York session began, all eyes were on whether this crucial zone would hold—and it did! Within minutes, the market surged with bullish conviction, driving momentum toward the next supply zone. The rapid movement reflected strong buying pressure and market confidence.

Please see levels below as reference to see how the action played out.

• NQ 18,850 (0DTE Demand)

• NQ 19,090 (0DTE Supply)

As we approached a key supply zone just before the important ISM Services print, it was a clear signal that playing defense and reducing risk would have been a prudent strategy.

When the ISM data hit, we saw a sharp surge, pushing the market even higher. However, it was short lived and momentum finally culminated at the critical 19,090 supply line, marking the peak of today's action.

Price later fell without support until it was able to pause right back down to the opening of NY and creating a balance during lunchtime hours

These market levels are recalculated and updated daily, taking into account factors like gamma expiration, trading volume, and market volatility. For the most up-to-date levels and analysis, all information is available on MenthorQ

⚡Jobs Data Fails to Impress, Nonfarm Payrolls Awaited…

• Wall Street exhibited mixed performance following weaker-than-expected (ISM) jobs data, with the Dow slipping while the S&P 500 and Nasdaq showed gains.

• Private payroll growth for August came in at just 99,000 jobs, the smallest increase since January 2021. Meanwhile, U.S. weekly jobless claims dropped, and investors are now shifting focus to the upcoming U.S. nonfarm payrolls report.

• Concerns about labor market health and potential recession risks continue to shape market sentiment.

🔄10 year Inverse - ISM Rejection

After the ISM print was released, we saw an immediate inverse rejection in the 10-year T-note, signaling a strong reaction to the economic data.

This is a prime example of how bonds can serve as powerful inverse correlation when analyzing overall market movements. The sharp reversal in the T-note can offer critical insight into risk sentiment and broader market trends.

Keeping an eye on this asset class provides an additional layer of context when navigating volatile sessions, making it a valuable tool for any trader's playbook.

🚀Amazon’s Dominant Move

Amazon came out swinging at the NY open, leading the charge among the Mag 7 stocks with a powerful push.

The price action was unmistakably imbalanced, clearly on a mission to find the next supply level, which was sitting up at 180. As the momentum built, it was clear that this strong surge was setting the stage for an exciting move.

Watching Amazon navigate through this high-volatility zone made for an exhilarating session, as it raced toward that key level of resistance!

• Amzn 172, 175 (0DTE Demand)

• Amzn 180 (0DTE Supply)

These market levels are recalculated and updated daily, taking into account factors like gamma expiration, trading volume, and market volatility. For the most up-to-date levels and analysis, all information is available on MenthorQ

Amazon’s AWS Bullish Outlook

An analyst report on Amazon highlights the company’s strong competitive position in both e-commerce and Amazon Web Services (AWS).

The report underscores Amazon’s dominance in the online retail space and its expansive cloud computing platform as major drivers for future growth.

With significant market leadership and innovation in these areas, the analyst remains bullish, believing that Amazon's diverse business segments position it for sustained long-term success.

"Over the last few quarters, AMZN has made nice progress in terms of improving the process in all three layers (inbound operations, warehousing, delivery) of its logistics operations."

You can read more details here.

🧠Ending Mindset

As we close out today's newsletter, I want to emphasize the importance of using a checklist in your daily routine.

In business and trading, a checklist is more than just a to-do list; it’s a roadmap that keeps you disciplined, focused, and aligned with your goals.

Successful people understand the value of structure, and a checklist helps you maintain control in even the most chaotic environments.

Until next time,
Steve B.
Founder, The Daily Impulse

Important Disclaimer:

This newsletter is for educational purposes only and does not offer financial or investment advice. It should not be taken as a recommendation to trade assets or make any financial decisions. Please be cautious and ensure you conduct thorough research or consult with a financial professional before making any investment choices.