S&P 500 Index is within striking distance of making new highs following solid performance on the heals of FED announcement. Options expiration and index re-balancing was the main action on Friday as price held strong bid throughout the session. Initial Cycle Targets has been achieved at 2104.00.
Today is Cycle Day 2 (CD 2) Having reached initial cycle targets, some back n fill is more likely today’s call to solidify new support level. Primary support is anticipated between 2092.25 – 2094.75 zone.
Odds of Rally > 10 = 83%; Odds of Rally > 20 = 45%; Average Range = 14.50; Max Average Range = 22.50; Possible High = 2115.50 based upon average penetration od CD1 high; Possible Low = 2084.25 based upon max avg range on CD2.
***Note: The odds highlighted are NOT predictions or trade recommendations, rather a guide based upon historical observed occurrences.
Today’s Hypotheses: June (M) Contract
Scenario 1: IF Price holds at or above 2092.25, THEN there is a 70% chance of making a high above PDH (2106.75), with potential to expand upwards to 2115.50.
Scenario 2: Failure to convert PDH (2106.75) keeps price within prior session range and in consolidation mode. Anticipated buy response would be at following levels: 2094.75 – 2092.25 zone; 2088.75 – 2085.25 3D CPZ. IF these zones are violated THEN price targets 2077.25 – 2075.25 TargetMaster Range Breakdown Target.
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!
“Knowing is not enough, We must APPLY. Willing is not enough, We must DO. – Bruce Lee