Trade Strategy 02.10.15

In Monday’s DTS Briefing 02.09.15 Scenario 1 stated: “Price will need to hold above 2038 handle and convert 2044.50 (PDL) to place odds (55%) for retracement rally targeting 2050…”  That’s about all price was able to muster in terms of strength, as price was not able to get a solid close above 2050 handle, hence further weakness developed into settlement.

We also stated: Any price strength above this level targets 2056 Central Pivot Zone.”  Early morning trade action has price trading higher exactly into the 2056 handle. We’ll mark this level as initial resistance until price can clear and convert.

Today is Cycle Day 3 (CD3)…Odds of 3D Rally > 10 – 82%; Odds of 3D Rally > 20 = 54%; Average Range on CD3 = 17.75; Max Average Range = 21.50; Possible High = 2065.50; Possible Low = 2022.50.

***Note: The odds highlighted are NOT predictions or trade recommendations, rather a guide based upon historical observed occurrences.

Today’s Hypotheses:

Scenario 1: Early strength has price hitting the 2056 – 58 zone…Price will need to continue to exhibit bullish momentum above 2048.50 – 2050.25 3D CPZ during pit session for potential to achieve upside Cycle Target between 2059.50 – 2061.

Scenario 2: Failure to find hold above 3D CPZ could result in renewed selling…Violation of 2042 handle targets PDL (2036.50)…Break below this level expands downside, targeting 2029.25…2026.00 – 2024 zone, then 2022.00 – 2019.25 TMXZ.

Trade Strategy: Our tactical trade strategy will simply remain unaltered…We’ll be flexible to trade both long and short side from Decision Pivot Levels. Continue to focus on Bull/Bear Stackers and Premium/Discounts. As always, remaining in alignment with dominant intra-day force increases probabilities of producing winning trades.

Stay Focused…Non-Biased…Disciplined  ALWAYS USE STOPS!

Good Trading…David

Habitude Twelve
I am disciplined. I behave in a way to reach my goals. I do what I intend to do. I have the intent to win through right actions. I will be patient for patterns to emerge and mature. I am decisive. I decide easily and act promptly. I act in the right way and right on time. When there is nothing to be done, I will wait.


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