Markets
U.S. stock futures are trading mixed territory pre-RTH
The world’s largest oil companies have been known for their dividend safety for years, but that may be changing amid a historic rout in crude prices.
Source: Seeking Alpha https://seekingalpha.com/
Economic Calendar https://www.investing.com/economic-calendar/
Weekly unemployment claims is expected to show another 4.3M workers out of a job (PMIs and new home sales are also expected to be ugly). The jobless figure would bring the total filings since late March to more than 26.3M, though economists say this week’s data should confirm that the claims have peaked.
8:30 Initial Jobless Claims
9:45 PMI Composite Flash
10:00 New Home Sales
10:30 EIA Natural Gas Inventory
We’ll keep the “High Surf Warning” posted for the foreseeable future.
S&P 500
Prior Session was Cycle Day 3 (CD3): We stated in prior DTS Briefing 4.22.20 “Cycle’s Primary Goal is to fully recover CD1 Low (2804.25) for a Positive 3 Day Rally. Unsuccessful attempt will trigger a “failed-cycle” hinting at further weakness in the coming days.”
PTG Trading Room Excerpt:
PTGDavid :(11:43:12 AM) : @ES OPR S&R 2787…
PTGDavid :(11:51:46 AM) : @ES…Now positioned for late day rally to recover Cycle Day 1 Low
PTGDavid :(3:51:07 PM) : @ES OPR TGT 2 & TGT 3 filled 2804.25 & 2807.25
It may have taken price all day to reach cycle targets, but in-fact it did and fulfilled Positive Cycle Statistics. This is the amazing power of the Taylor 3 Day Cycle.
…Transition from Cycle Day 3 to Cycle Day 1
This leads us into Cycle Day 1 (CD1): Objective for this cycle day is to “probe for a new secure low” from which to begin the next cycle’s rally.
Having expelled quite a bit of buying energy reaching cycle targets, price is currently trading quietly pre-RTH awaiting Weekly Claims. Though the normal is for weakness this cycle day, price may need to pause and find some balanced value. Initial range is marked between 2808 – 2770.
P-VA High = 2792 P-VA Low = 2760 P-POC = 2788
Bull Scenario: IF Bulls hold bid above 2788, THEN initial upside estimate targets 2798 – 2808 zone
Bear Scenario: IF Bears hold offer below 2788, THEN initial downside estimate targets 2770 – 2760 zone.
Range Projections and Key Levels (ES) June 2020 (M) Contract
HOD ATR Range Projection: 2852; LOD ATR Range Projection: 2726; 3 Day Central Pivot: 2788; 3 Day Cycle Target: 2845; 10 Day Average True Range 84.00; VIX: 42.00
Nasdaq 100 (NQ)
Today is Cycle Day 1 (CD1)…Having fulfilled Positive 3 Day Cycle Statistic in previous session, price is quietly consolidating as Mr. Market awaits Weekly Claims. Initial Range is marked between 8680 – 8580.
P-VA High = 8645 P-VA Low = 8502 P-POC = 8570
Bull Scenario: IF Bulls hold bid above 8633, THEN initial upside estimate targets 8675 – 8700 zone.
Bear Scenario: IF Bears hold offer below 8633, THEN initial downside estimate targets 8600 – 8580 zone.
Range Projections and Key Levels (NQ) June 2020 (M) Contract
HOD ATR Range Projection: 8868; LOD ATR Range Projection: 8390; 3 Day Central Pivot: 8613; 3 Day Cycle Target: 8724; 10 Day Average True Range: 266; VIX: 42.00
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
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