A barrel of WTI for April delivery dropped below $48 in overnight trading as the U.S. oil rig count rose by eight to 617 last week, the highest level since September 2015. Investors had cut bullish bets on the commodity just prior to the dive below $50, with some analysts saying things will get worse from here.
In Asia, Japan +0.2%. Hong Kong +1.1%. China +0.8%. India closed.
In Europe, at midday, London +0.2%. Paris +0.2%. Frankfurt +0.1%.
Futures at 6:20, Dow flat. S&P -0.1%. Nasdaq -0.1%. Crude -0.7% to $48.11. Gold +0.6% to $1208.
Ten-year Treasury Yield flat at 2.57%
(Source: Seeking Alpha)
Economic Calendar
10:00 Labor market condition index
PTG Trading
Prior declined to reach projected target zone between 2361 – 2358 in normal Cycle Day 1 trade action. Overnight trade is quiet with a narrow 4.5 handle range as the East Coast prepares for a major snow storm which threatens to close down key travel routes.
Today is Cycle Day 2 (CD2)…The rally which began in prior session still have room to reach upside targets between 2376.50 – 2385.00 zone. On tap this week is FED decision on interest rates along with quarterly Quad-Options Expiration.
Range Projections and Key Levels
HOD ATR Range Projection: 2379.68; LOD ATR Range Projection: 2354.32; Cycle Day 1 Low: 2359.00; 3 Day Central Pivot: 2363.50; 3 Day Cycle Target: 2385.11; 10 Day Average True Range: 14.93
**Note: The odds highlighted are NOT predictions or trade recommendations, rather a guide based upon historical observed occurrences.
Today’s Hypotheses: June 2017 (M) 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: Bulls objective remains to convert 2372 – 75 to upper support, then push for 2380 – 85 cycle target zone. Cycle Range High measures 2387.50.
Scenario 2: Bears need to seal-the-deal below 2359 to get further downside targeting 2354 – 2352 zone. Cycle Range Low measures 2346.50.
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.
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