Trade Strategy 1.12.17

Markets

Global macroeconomic numbers have responded “positively” to the agreement between OPEC and non-OPEC producers to pare output, according to OPEC Secretary General Mohammad Barkindo. Crude-producing countries will decide in May whether to extend their collective output cuts beyond the first half of the year, he added, stating OPEC isn’t targeting a specific price for crude.

In Asia, Japan -1.2%. Hong Kong -0.5%. China -0.6%. India +0.4%.
In Europe, at midday, London -0.1%. Paris -0.1%. Frankfurt -0.4%.
Futures at 6:20, Dow -0.2%. S&P -0.2%. Nasdaq -0.2%. Crude +1.2% to $52.85. Gold +0.6% to $1204.
Ten-year Treasury Yield -4 bps to 2.32%

(Source: Seeking Alpha)

Economic Calendar 

8:30 Initial Jobless Claims
8:30 Import/Export Prices
8:30 Fed’s Harker: Economic Outlook
8:30 Fed’s Evans: Monetary Policy
9:45 Bloomberg Consumer Comfort Index
10:30 EIA Natural Gas Inventory
1:00 PM Results of $12B, 30-Year Note Auction
1:15 PM Fed’s Bullard: U.S. Monetary and Economic Policy
2:00 PM Treasury Budget
4:30 PM Money Supply
4:30 PM Fed Balance Sheet
7:00 PM Janet Yellen speech

PTG Trading

Price action continues its consolidation ways as neither bull or bears are able to mount a lasting directional attack. Range barriers remain between 2260 – 2270 handles. Average True Range has expanded slightly to 16.33.

Today is Cycle Day 2 (CD2)…Normal Neutral..Price simply needs to break through either price edges, otherwise continued low volatility consolidation.

Range Projections and Key Levels

HOD  ATR Range Projection: 2277.00; LOD ATR Range Projection: 2254.00; Cycle Day 1 Low: 2255.00; 3 Day Central Pivot: 2266.50; 3 Day Cycle Target: 2278.31; 10 Day Average True Range: 16.33

**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: March 2017 (H) Contract

*****The levels outlined below are more general framework within a larger range…They are to be used are reference prices from which to consider trade opportunities, not hard trade levels.

Scenario 1: Bulls need solid conversion above 2268 – 70 zone to get upside expansion targeting 2276 – 2280 zone.

Scenario 2:  Bears need solid conversion below 2260 – 2258 zone to force weak longs to liquidate, targeting 2254 – 2250 zone.

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

*****This trade strategy report is disseminated for “education only” and should not be viewed in any way as a recommendation to buy or sell futures products.”

PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS

IMPORTANT NOTICE! No representation is being made that the use of this strategy or any system or trading methodology will generate profits. Past performance is not necessarily indicative of future results. There is substantial risk of loss associated with trading securities and options on equities. Only risk capital should be used to trade. Trading securities is not suitable for everyone. Disclaimer: Futures, Options, and Currency trading all have large potential rewards, but they also have large potential risk. You must be aware of the risks and be willing to accept them in order to invest in these markets. Don’t trade with money you can’t afford to lose. This website is neither a solicitation nor an offer to Buy/Sell futures, options, or currencies. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site. The past performance of any trading system or methodology is not necessarily indicative of future results.

CFTC RULE 4.41 –HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN


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