Markets
U.S. stock futures rise, following gains in most equities markets around the world, amid optimism that the coronavirus curve is flattening. Dow futures advance 1.3%, Nasdaq gains 1.5% and S&P futures rise 1.2%. The 10-year Treasury yield remains flat at 0.75%.
In overseas markets, the Stoxx Europe 600 rises 0.9% and the DAX gains 1.1%. In Asia, markets also ended the session in the green – the Hang Seng rose 0.6%,
Source: Seeking Alpha https://seekingalpha.com/
Economic Calendar
8:30 Import/Export Prices
8:55 Redbook Chain Store Sales
11:05 Fed’s Bullard: “COVID-19 Briefing”
12:30 PM Fed’s Evans Speech
https://www.investing.com/economic-calendar/
***New: PTG Trading Room Chat Log’s Link
***IMPORTANT >>> IF preset $risk parameters have been exceeded in your individual trade plan, THEN simply stand-aside or trade in simulation-mode until trade risk can properly be managed.
We’ll keep the “HIGH SURF WARNING FLAG” posted as volatility remains elevated, with VIX 40 and ATR (10) 105 handles.
S&P 500
Monday’s Session was Cycle Day 2 (CD2): Session unfolded as a “normal” CD2 with price initially declining to test “key support” 2715 as outlined in prior DTS 4.13.20 briefing. Price oscillated throughout the day from VAL to VAH and closed with bullish bias above CD1 Low (2752.25).
…Transition from Cycle Day 2 to Cycle Day 3
This leads us into Cycle Day 3 (CD3): 3 Day Cycle Objectives have been fulfilled (2807.50) during GLOBEX. Bullish trend remains intact, as it would take a violation and conversion of 2700 Roundie to squelch the current sentiment.
PVA High Edge = 2747 PVA Low Edge = 2722 Prior POC = 2730
Bull Scenario: IF Bulls hold bid above 2780, THEN initial upside estimate targets 2800 – 2820 zone.
Bear Scenario: IF Bears hold offer below 2780, THEN initial downside estimate targets 2780 – 2760 zone.
Range Projections and Key Levels (ES) June 2020 (M) Contract
HOD ATR Range Projection: 2832; LOD ATR Range Projection: 2729; 3 Day Central Pivot: 2745; 3 Day Cycle Target: 2808; 10 Day Average True Range 105; VIX: 40
Nasdaq 100 (NQ)
Today is Cycle Day 3 (CD3)…Price has fulfilled 3 Day Cycle Objective (8414) during GLOBEX Session. As long as price remains above prior close 8338, bulls are in firm control.
PVA High Edge = 8250 PVA Low Edge = 8158 Prior POC = 8200
Bull Scenario: IF Bulls hold bid above 8440, THEN initial upside estimate targets 8485 – 8525 zone.
Bear Scenario: IF Bears hold offer below 8440, THEN initial downside estimate targets 8415 – 8370 zone.
Range Projections and Key Levels (NQ) June 2020 (M) Contract
HOD ATR Range Projection: 8525; LOD ATR Range Projection: 8220; 3 Day Central Pivot: 8202; 3 Day Cycle Target: 8414; 10 Day Average True Range: 285; VIX: 40
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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