Markets
Stock futures are pointing to another opening jump in early morning trade, up about 3%, following a steep rebound in the previous session that saw major U.S. indexes rally more than 7%.
DAX exits bear market; S&P 500 to follow
Building on recent gains, Germany’s benchmark DAX Index soared another 4.6% overnight to technically leave a bear market it entered in March.
Source: Seeking Alpha https://seekingalpha.com/
Source: https://www.investing.com/indices/indices-cfds
Economic Calendar
10:00 Job Openings and Labor Turnover Survey
3:00 PM Consumer Credit
https://www.investing.com/economic-calendar/
***New: PTG Trading Room Chat Log’s Link
S&P 500
Monday’s Session was Cycle Day 1…Price vaulted higher on GLOBEX OPEN (Sunday evening) and never looked back. RTH Session “Jump-The-Creek” Gap Open was powerful, as strong bids persisted throughout the session. Market-on-Close (MOC) Buy topped $6 billion as Mutual Funds put $ to work which they sold last month.
…Transition from Cycle Day 1 to Cycle Day 2
This leads us into today’s Cycle Day 2…During GLOBEX Session price has continued its prior session rally, pushing nearly 100 handles (2.5%) from prior close. Price has also retraced approximately 50% from peak-to-trough.
Normal expectation for CD2 is for “back n fill” throughout the session to absorb recent gains. We are anticipating 2690 – 2710 zone to develop some balance on pullbacks. Continue to respect the current trend conditions, but no chasing price. Be patient for natural support zone to develop.
P – VA High = 2630 P – VA Low = 2592 P – POC = 2616
Bull Scenario: IF Bulls hold bid above 2710, THEN initial upside estimate targets 2735 – 2745 zone
Bear Scenario: IF Bears hold offer below 2710, THEN initial downside estimate targets 2690 – 2680 zone.
Range Projections and Key Levels (ES) June 2020 (M) Contract
HOD ATR Range Projection: 2763; LOD ATR Range Projection: 2605 3 Day Central Pivot: 2525; 3 Day Cycle Target: 2576; 10 Day Average True Range 132; VIX: 44
Nasdaq 100 (NQ)
Today is Cycle Day 2 (CD2)…During GLOBEX Session price has continued its prior session rally, pushing nearly 355 handles (2.0%) from prior close. Price has also retraced 50% from peak-to-trough.
P – VA High = 8696 P – VA Low = 7868 P – POC = 7922
Bull Scenario: IF Bulls hold bid above 8240, THEN initial upside estimate targets 8286 – 8303 zone.
Bear Scenario: IF Bears hold offer below 8240, THEN initial downside estimate targets 8190 – 8150 zone.
Range Projections and Key Levels (NQ) June 2020 (M) Contract
HOD ATR Range Projection: 8368; LOD ATR Range Projection: 7882; 3 Day Central Pivot: 7659; 3 Day Cycle Target: 7815; 10 Day Average True Range: 386; VIX: 44
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.”
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