Markets
Up, down, up, down… Stock futures are pointing slightly lower this morning, keeping up with a trend seen this week of tepid gains and losses. Nasdaq futures are off by 0.5%, while contracts tied to the S&P 500 and Dow Jones are down 0.3% and 0.1%, respectively. The wavering of equities this week came as fears over runaway inflation eased, but Fed taper talk picked up pace, resulting in mixed sentiment on Wall Street.
Source: SeekingAlpha.com
Economic Calendar
8:30 Durable Goods
8:30 Initial Jobless Claims
8:30 GDP Q1
8:30 Corporate profits
10:00 Pending Home Sales
10:30 EIA Natural Gas Inventory
11:00 Kansas City Fed Mfg Survey
1:00 PM Results of $62B, 7-Year Note Auction
4:30 PM Fed Balance Sheet
https://www.investing.com/economic-calendar/
***New: PTG Trading Room Chat Log’s Link
S&P 500
Prior Session was Cycle Day 1 (CD1): This day unfolded as a “normal” Cycle Day 1 as the anticipated decline did unfold, although it acted more like a consolidation day, as price formed an “inside-inside” value condition. Range was 33 handles on 1.191M contracts exchanged.
…Transition from Cycle Day 1 to Cycle Day 2
This leads us into Cycle Day 2 (CD2): Price is currently probing the 2-day value low (4185) level during overnight trade. Current bull/bear battle-zone is between 4180 – 4200. As such, estimated scenarios to consider for today’s trading.
1.) Price sustains a bid above 4180, initially targets 4193 – 4198 zone.
2.) Price sustains an offer below 4180, initially targets 4168 – 4160 zone.
PVA High Edge = 4196 PVA Low Edge = 4189 Prior POC = 4191
Range Projections and Key Levels (ES) June 2021 (M) Contract
HOD ATR Range Projection: 4226; LOD ATR Range Projection: 4148; 3 Day Central Pivot: 4131; 3 Day Cycle Target: 4210; 10 Day Average True Range 48; VIX: 18
Nasdaq 100 (NQ)
Today is Cycle Day 2 (CD2)…Price is currently trading near lower edge of 2-day value zone (13625 – 13712). Prior range was 72 handles on 338k contracts exchanged. As such, there are two estimated scenarios to consider for today’s trading.
PVA High Edge = 13712 PVA Low Edge = 13684 Prior POC = 13702
Bull Scenario: IF Bulls sustain a bid above 13630, THEN initial upside estimate targets 13674 – 13686 zone.
Bear Scenario: IF Bears sustain an offer below 13630, THEN initial downside estimate targets 13615 – 13588 zone.
Range Projections and Key Levels (NQ) June 2021 (M) Contract
HOD ATR Range Projection: 13836; LOD ATR Range Projection: 13502; 3 Day Central Pivot: 13643; 3 Day Cycle Target: 13740; 10 Day Average True Range: 216; VIX: 18
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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