Trade Strategy 1.7.20

Markets

In Asia, Japan +1.6%. Hong Kong +0.3%. China +0.7%. India +0.5%.
In Europe, at midday, London +0.1%. Paris +0.6%. Frankfurt +1.1%.
Futures at 6:20, Dow +0.2%. S&P +0.2%. Nasdaq +0.3%. Crude -0.6% to $62.91. Gold -0.1% to $1567.90. Bitcoin +4.4% to $7868.

(Source: Seeking Alpha)  https://seekingalpha.com/

Economic Calendar

8:30 International Trade
8:55 Redbook Chain Store Sales
10:00 Factory Orders
10:00 ISM Non-Manufacturing Index
1:00 PM Results of $38B, 3-Year Note Auction

https://www.investing.com/economic-calendar/

*****New PTG Trading Room Chat Log’s Link

S&P 500

Today is Cycle Day 3 …Price has fulfilled 3 Day Cycle Objectives. This sets up a “wildcard” day for today’s session (Cycle Day 3 or Sell Short Day).

IF momentum remains, price will need to Clear and Convert prior high to maintain momentum…If this scenario occurs, then further upside targets measure up to 3260.

FAILURE to carry higher with a Violation of 3242 Line In Sand (LIS), then expectation would be for deeper decline. Initial downside targets would be 3235, then 3230

Given that 3 Day Cycle Objective have been fulfilled, long-side will need to “prove-itself” worthy of further commitment.

As PTG Trade Strategy states: 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.

CD3 Range High = 3264.00          CD3 Range Low = 3230.00          CD3 Range Avg = 23.00

Scenario 1: IF Bulls hold bid above 3242, THEN initial upside targets 3250 – 3260 zone.

Scenario 2: IF Bears hold offer below 3242, THEN initial downside targets 3235 – 3230 zone.

Range Projections and Key Levels (ES) March 2020 (H) Contract

HOD  ATR Range Projection: 3266.00; LOD ATR Range Projection: 3229.00.00; Cycle Day 1 Low: 3206.75; 3 Day Central Pivot: 3240.00; 3 Day Cycle Target: 3243.50; 10 Day Average True Range 25.00; VIX: 14.00

Nasdaq 100 (NQ)

Today is Cycle Day 3…Price has fulfilled 3 Day Cycle Objective (8867) with action consolidating recent gains during overnight trade. Conversion of 8882 handle opens door for further upside. Violation and conversion of 8852 suggests a deeper decline potential unfolding.

CD3 Range High = 8906.00         CD3 Range Low = 8813.00          CD3 Range Avg = 82.00

Scenario 1: IF Bulls hold bid above 8867, THEN initial upside potential targets 8882 – 8896 zone.

Scenario 2: IF Bears hold offer below 8867, THEN initial downside targets 8852 – 8835 zone.

Range Projections and Key Levels (NQ) March 2020 (H) Contract

HOD  ATR Range Projection: 8941.00; LOD ATR Range Projection: 8800.00; Cycle Day 1 Low: 8735.25; 3 Day Central Pivot: 8830.00; 3 Day Cycle Target: 8867.00; 10 Day Average True Range: 95.00; VIX: 14.00

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