Trade Strategy 9.4.19

Markets

Futures rebound

With political risks receding across the globe, Wall Street is pointing to broad opening gains. DJIA futures are up 209 points, while S&P 500 and Nasdaq futures are ahead by 0.9% and 1.2%, respectively. Bets on deeper Fed rate cuts are also growing following yesterday’s grim ISM reading of factory activity in the U.S., which showed the first contraction for the manufacturing sector in three years.

In Asia, Japan +0.2%. Hong Kong +3.9%. China +0.9%. India +0.4%. 
In Europe, at midday, London +0.3%. Paris +1%. Frankfurt +0.9%. 
Futures at 6:20, Dow +0.8%. S&P +0.9%. Nasdaq +1.2%. Crude +0.6% to $54.25. Gold -0.5%to $1547.90. Bitcoin +1.6% to $10471. 
Ten-year Treasury Yield +3 bps to 1.49%

(Source: Seeking Alpha)  https://seekingalpha.com/

Economic Calendar https://www.investing.com/economic-calendar/

8:30International Trade
8:55Redbook Chain Store Sales
9:30Fed’s Williams Speech
10:00Fed’s Kaplan: Monetary Policy
12:30 PMFed’s Bowman Speech
12:30 PMFed’s Bullard Speech
1:00 PMFed’s Kashkari: Economic Outlook
2:00 PMFed’s Beige Book

*****New PTG Trading Room Chat Log’s Link

S&P 500

Today is Cycle Day 3 …Price is nearing this cycle’s 2939 objective in pre-RTH trade breaking above 2920 – 2925 “key resistance”. Bulls now must keep bid above this zone and continue pressing the auction higher. Violation and conversion of 2920 would warrant a reassessment.

CD3 Range High = 2939.50          CD3 Range Low = 2912.25          CD3 Range Avg = 38.00

Scenario 1: IF Bulls hold bid above 2924, THEN initial upside targets 2940 – 2948 zone.

Scenario 2: IF Bears hold offer below 2924, THEN initial downside targets 2917 – 2910 zone.

Range Projections and Key Levels (ES) September (U) Contract

HOD  ATR Range Projection: 2939.00; LOD ATR Range Projection: 2900.00; Cycle Day 1 Low: 2889.00; 3 Day Central Pivot: 29112.00; 3 Day Cycle Target: 2939.00; 10 Day Average True Range 37.00; VIX: 18.00

Nasdaq 100 (NQ)

Today is Cycle Day 3…Price has extended above prior high and fulfilled 7717 CD3 Penetration Level. Pullback support is marked at 7676.

CD3 Range High = 7741.00         CD3 Range Low = 7671.00          CD3 Range Avg = 133.00

Scenario 1: IF Bulls hold bid above 7688, THEN initial upside potential targets 7717 – 7727 zone.

Scenario 2: IF Bears hold offer below 7688, THEN initial downside targets 7676 – 7666 zone.

Range Projections and Key Levels (NQ) September (U) Contract

HOD  ATR Range Projection: 7728.00; LOD ATR Range Projection: 7610.00; Cycle Day 1 Low: 7580.00; 3 Day Central Pivot: 7651.00; 3 Day Cycle Target: 7758.00; 10 Day Average True Range: 119.50; VIX: 18.00

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