Trade Strategy 05.28.15

Battle of the Bull / Bear Robots!  Tuesday the Bears had full control…Wednesday the Bulls regained control. This scenario has been playing out consistently throughout 2015, so until this multi-week range can be broken, more of the same…advantage still remains with Bulls.

The 3-Day Cycle has also been consistent…Yesterday was Cycle Day 1 (CD1) and expectation is (was) for IF price holds above prior low, THEN high expectation is for new Cycle Rally to begin…Current Average Cycle Rally is 22.50 handles which targets 2123.75.

Today is Cycle Day 2 (CD2)…Odds of Rallt > 10 = 83%; Odds of Rally > 20 = 45%; Average Range = 14.50; Max Average Range = 22.50; Possible HOD = 2133 based upon average penetration of CD1 high; Possible LOD = 2109.75 based upon average range.

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

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Today’s Hypotheses: June (M) Contract

Scenario 1: IF price clears and converts PH (2124.25), THEN there is a 57% chance of pushing higher to 2126.75 – 2129.50 STATX Zone…Above this zone is 2132.75 Penetration Target.

Scenario 2: Failure to convert PH (2124.25) keep s price within prior session range for consolidation…Levels to be mindful of for pullback support are 2116 …2112.75 – 2110.00 followed by 2107.25 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!

Good Trading…David

“Knowing is not enough, We must APPLY. Willing is not enough, We must DO.” –Bruce Lee

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