Trade Strategy 10.4.19

Markets

All eyes will be on the September jobs report as investors look for clues on whether the Federal Reserve is likely to cut rates later this month. This comes after economic reports that depict a contracting manufacturing sector and weaker-than-expected growth in the services sector. Stock index futures are mixed, with the Nasdaq roughly -0.3%, S&P -0.3% and Dow -0.3%.

In Asia, Japan +0.32%. Hong Kong -1.11%. China closed. India -1.3%.
In Europe, at midday, London +0.06%. Paris -0.10%. Frankfurt -0.23%.
Futures at 6:20, Dow -0.32%. S&P -0.33%. Nasdaq -0.34%. Crude +0.50% to $52.71. Gold +0.08% to $1,515. Bitcoin -1.8% to $8,154.
Ten-year Treasury Yield -0.7 bps to 1.529%.

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

Economic Calendar

8:30Non-farm payrolls
8:30International Trade
10:25Fed’s Bostic Speech
1:00 PMBaker-Hughes Rig Count

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

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

S&P 500

Today is Cycle Day 1 (CD1)…Normal is for a decline measuring 2866.50. Average Range for CD1 is 40.75 handles. Odds of decline > 10 handles = 73% Odds of decline > 20 = 44%

CD1 Range High = 2922.00       CD1 Range Low = 2894.00         CD1 Range Avg = 40.75

Scenario 1: IF Bulls hold bid above 2908, THEN initial upside targets 2918 – 2926 zone.

Scenario 2: IF Bears hold offer below 2908, THEN initial downside targets 2900 – 2894 zone.

Range Projections and Key Levels (ES) September 2019 (U) Contract

HOD  ATR Range Projection: 2941.50; LOD ATR Range Projection: 2874.75; 3 Day Central Pivot: 2918.00; 3 Day Cycle Target: 2945.50; 10 Day Average True Range 43.50; VIX: 20.00

Nasdaq 100 (NQ)

Today is Cycle Day 1 (CD1)…Normal is for a decline measuring 7505.00.  Average Range for CD1 is 131.50 handles. Odds of decline > 20 handles = 75% Odds of decline > 25 = 66%

CD1 Range High =7882.00           CD1 Range Low = 7626.75          CD1 Range Avg = 131.50

Scenario 1: IF Bulls hold bid above 7650, THEN initial upside targets 7682 – 7685 zone.

Scenario 2: IF Bears hold offer below 7650, THEN initial downside targets 7627 – 7620 zone.

Range Projections and Key Levels (NQ) September 2019 (U) Contract

HOD  ATR Range Projection: 7765.00; LOD ATR Range Projection: 7545.00; 3 Day Central Pivot: 7650.00; 3 Day Cycle Target: 7695.50; 10 Day Average True Range: 140.69 VIX: 20.00

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