Trade Strategy 11.30.15

Markets

The euro is closing out November with a major monthly decline as economists unanimously forecast the ECB will unveil additional stimulus this week. The currency has weakened 3.8% this month, its biggest loss since a 4.2% decline in March, when the central bank embarked on a €1.1T asset-purchase program. In contrast, the U.S. Federal Reserve is widely expected to hike interest rates at its mid-December policy meeting, sending up the dollar index to 100.23, its highest level since mid-March. Euro -0.2% to 1.0568.(Source: Seeking Alpha)

Today’s Economic Calendar

9:45 Chicago PMI
10:00 Pending Home Sales
10:30 Dallas Fed Manufacturing Survey
3:00 PM Farm Prices

PTG Trading

S&P emini achieved Average Cycle Target (2096.50) during the shortened holiday session. Friday’s session was classic Cycle Day 1 (CD1) as price probed lower to find a new secure low at 2082.00 handle.

In overnight trade price tested cycle support and has since begun to rally pre-cash session rising to 2094.25. There is additional room to continue the current upswing which initially targets 2098.25.

Today is Cycle Day 2 (CD2)…Odds of Rally > 10 = 84%; Odds of Rally > 20 = 45%; Average Range = 14.50; Max Average Range= 22.75; Possible HOD = 2104.50; Possible LOD = 2073.25

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

Click Here

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 clears and converts 2091.00, THEN initial upside targets PH (2096.00)…Conversion of this level pushes 2098.25 = 2101 zone. Above this zone measures 2104.50 Average Cycle Rally Target.

Scenario 2: Failure to convert PH (2096.00) keeps price within recent holiday range…Pullbacks are expected to find ample responsive buyers above CD1 Low of 2081.50.

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

Leave a Reply