Trade Strategy 12.21.18

Posted on by December 23, 2018
Markets
 
Stock markets around the world continued to slide Friday as a last minute Santa Rally continued to look increasingly unlikely. Adding to worries triggered by the Federal Reserve, President Trump is refusing to sign a stop-gap spending bill unless he gets border wall funding, sparking fears of a weekend government shutdown. U.S Defense Secretary James Mattis, largely seen as a moderating influence on the president, also resigned overnight, extending political tensions after Trump announced a decision to withdraw U.S. troops from Syria.
 
In Asia, Japan -1.1%. Hong Kong +0.5%. China -0.8%. India -1.9%. 
In Europe, at midday, London %. Paris %. Frankfurt %. 
Futures at 6:20, Dow -0.5%. S&P -0.5%. Nasdaq -0.6%. Crude -0.6% to $45.61. Gold -0.4% to $1262.90. Bitcoin +7.2% to $4010. 
Ten-year Treasury Yield flat at 2.79%
 
(Source: Seeking Alpha)
 
Economic Calendar

http://mam.econoday.com/

8:30 Durable Goods
8:30 GDP Q3
8:30 Corporate profits
10:00 Personal Income and Outlays
10:00 Consumer Sentiment
11:00 Kansas City Fed Mfg Survey
1:00 PM Baker-Hughes Rig Count

*****New PTG Trading Room Chat Log’s Link Click this link to view:

S&P 500

Today is Cycle Day 3 (CD3)…Overnight trade has been sedate and narrow range relative to the volatile wide intra-day swings of the RTH “bucking-bronco” Sessions. QUAD Options Expiry is on tap for today, so anything goes in-terms of trade expectations. Main Fulcrum Point is 2480. Upper range edge measures 2525…Lower range edge measures 2445.

CD3 Range High = 2516.00          CD3 Range Low = 2442.00          CD3 Range Avg = 49.00 

Scenario 1: IF price holds bid above 2480, THEN upside potential measures 2525 handle.

Scenario 2: IF price holds offer below 2480, THEN downside measures 2445 handle.

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

HOD  ATR Range Projection: 2532.00; LOD ATR Range Projection: 2427.00; Cycle Day 1 Low: 2489.50; 3 Day Central Pivot: 2519.00; 3 Day Cycle Target: 2536.00; 10 Day Average True Range 65.00; VIX: 28.00

Click Here

Nasdaq 100 (NQ)

Today is Cycle Day 3 …Overnight trade has been sedate and narrow range relative to the volatile wide intra-day swings of the RTH “bucking-bronco” Sessions. QUAD Options Expiry is on tap for today, so anything goes in-terms of trade expectations. Main Fulcrum Point is 6300. Upper range edge measures 6400…Lower range edge measures 6200.

CD3 Range High = 6434.00         CD3 Range Low = 6165.00          CD3 Range Avg = 168.00

Scenario 1: IF price holds bid above 6300, THEN upside potential measures 6400 handle.

Scenario 2: IF price holds offer below 6300, THEN downside measures 6200 handle.

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

HOD  ATR Range Projection: 6464.00; LOD ATR Range Projection: 6134.00; Cycle Day 1 Low: 6301.25; 3 Day Central Pivot: 6407.00; 3 Day Cycle Target: 6366.00; 10 Day Average True Range: 198.00; VIX: 28.00

Click Here

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