Markets
Wall Street’s attention next week will shift to inflation from the labor market, with the producer price index and consumer price index readings for July due on Tuesday and Wednesday, respectively. Also on tap will be retail sales data on Thursday.
The nonfarm payrolls report earlier this month sharply upended the narrative around monetary policy, stoking fears about a recession in the U.S. and sparking concerns that the Federal Reserve had waited too long to cut interest rates.
Source: Seeking Alpha
Economic Calendar
S&P 500
Prior Session was Cycle Day 2: Markets continued their “relief-rally” fulfilling 5385 “to-the-tick” target which was outlined in prior DTS Briefing 8.9.24. Price has retraced a possible Wave 4 (see screenshot below) which would be viewed as a “corrective” pattern. Of course Mr. Market has final say as to all patterns. IF the market retests 5345 (LIS) down to 5320 (KEY SUPPORT) and fail, THEN odds favor deeper decline. Range was 65 handles on 1.347M contracts exchanged.
…Transition from Cycle Day 2 to Cycle Day 3
This leads us into Cycle Day 3: Price has surpassed cycle targets and is currently above CD1 Low (5182), so we’ll mark this session as a “wild-card.” BIG week ahead as CPI on Wednesday will have a YUGE influence on directional bias. Market “jitters’ is the expected “vibe” in-advance of this release.
You Know The Plan! Our discipline of maintaining positioning that is aligned with market forces continues to serve us well, so stay the course.
As such, scenarios to consider for today’s trading.
Bull Scenario: Price sustains a bid above 5345, initially targets 5385 – 5395 zone.
Bear Scenario: Price sustains an offer below 5345, initially targets 5320 – 5310 zone.
PVA High Edge = 5372 PVA Low Edge = 5343 Prior POC = 5368
PTG 3 Day Cycle
EXCLUSIVE OFFER
*****The 3 Day Cycle has a 90% probability of fulfilling Positive Cycle Statistics covering 12 years of recorded tracking history.
ES Chart
Nasdaq 100 (NQ)
Prior Session was Cycle Day 2: Markets continued their “relief-rally” as price oscillated around the Line-in-the-Sand (18520) and found solid buy response (support) from 18425 – 18360 target zone as was outlined in prior DTS Briefing 8.9.24. Range was 291 handles on 494k contracts exchanged.
…Transition from Cycle Day 2 to Cycle Day 3
This leads us into Cycle Day 3: Price has surpassed cycle targets and is currently above CD1 Low (17741.75), so we’ll mark this session as a “wild-card.” BIG week ahead as CPI on Wednesday will have a YUGE influence on directional bias. Market “jitters’ is the expected “vibe” in-advance of this release.
You Know The Plan! Our discipline of maintaining positioning that is aligned with market forces continues to serve us well, so stay the course.
As such, scenarios to consider for today’s trading.
Bull Scenario: Price sustains a bid above 18550, initially targets 18708 – 19722 zone.
Bear Scenario: Price sustains an offer below 18550, initially targets 18450 – 18376 zone.
PVA High Edge = 18628 PVA Low Edge = 18483 Prior POC = 18613
NQ Chart
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.” –BR
*****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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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