Hot CPI — Dip Buyers Have Work to Do
by Tony Rago
CPI came in hot and pushed us through yesterday’s lows, putting the bulls on the defensive right out of the gate. Dip buyers will have their work cut out for them today, and this could open the door to a deeper pullback toward 7,700 and 7,677 on ES. On NQ, we could easily see price go after the open gaps below, with 30,500 being the key level to watch from here. The question is whether buyers can step in and absorb this weakness or if sellers are just getting started.
We need to let the market open and see whether the bears have enough momentum to carry this move into regular trading hours, or if the bulls are ready to defend and push price back up. After a hot inflation number, reactions can be quick and messy, so there’s no need to jump in before the picture becomes clearer. Watch the key levels, let the opening range develop, and wait for price to confirm the next move. Stay patient, stay disciplined, and let’s get after it! 💪
👉 Full breakdown is inside today’s Pre-Market Playbook.
Check it out here and trade it smart.
Until next time,
Tony
