Oil prices are giving up some of Monday’s gains ahead of the official start of the latest OPEC meeting in Vienna tomorrow. Things are looking increasingly shaky following reports that OPEC’s technical experts failed to bridge their differences and Russia confirmed it would not attend the gathering. The group is aiming to agree on its first crude output deal since 2008, however, details of a potential accord remain unclear.
In Asia, Japan -0.3%. Hong Kong -0.4%. China +0.2%. India +0.2%.
In Europe, at midday, London -0.6%. Paris +0.5%. Frankfurt flat.
Futures at 6:20, Dow +0.1%. S&P +0.2%. Nasdaq +0.1%. Crude -1.8% to $46.24. Gold -0.4% to $1189.40.
Ten-year Treasury Yield flat at 2.32%
(Source: Seeking Alpha)
8:30 GDP Q3
8:30 Corporate Profits
8:55 Redbook Chain Store Sales
9:00 S&P Corelogic Case-Shiller Home Price Index
10:00 Fed’s Dudley Speech
10:00 Consumer Confidence
10:00 State Street Investor Confidence Index
Bulls continue to hold control, even though Market On Close (MOC) Sell Imbalance topped $1.4B in prior session. Price is holding above CD1 Low (2198.25), which is marked now as Key Cycle Support.
Today is Cycle Day 2 (CD2)…Possible for retest of 2198.25 for validation of “secure low”…Pivot structure remains in bullish configuration…It would take a sustained price move below 2190 – 2192 zone to effectuate a shift.
Range Projections and Key Levels
**Note: The odds highlighted are NOT predictions or trade recommendations, rather a guide based upon historical observed occurrences.
Today’s Hypotheses: December (Z) 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: IF price holds above CD1 Low (2198.25), THEN initial objective is to convert 2206 to upper support. Secondary objective would be to clear and convert PH (2209.5) which would open door to expand to higher target zone between 2216 – 2218.50
Scenario 2: IF CD1 Low is violated and converted to lower resistance, THEN further downside potential exists targeting 2192 – 2194 zone. Weakness below this zone measures 2186 handle.
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
*****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
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