S&P 500
Important Note: We have begun publishing the PTG Trading Room Daily RECAP which you should be receiving at the end of each trading day. This publication is a more detailed review of how the trading unfolded throughout the day from our viewpoint. It is an “educational” complimentary companion to be used in conjunction with the Daily Trade Strategy. It continues to be “work-in-progress”, so please offer feedback as to content, style and relevance. We are always striving to make PTG Products and Services the very best in-class.
All Risk Disclosures found throughout this website applies equally to the daily recap publication.
Prior Session was Cycle Day 2: This session was a typical (CD2) MATD rhythmic day following an upside breakout to new all-time highs. Triple Options Expiration (TOPEX) was the core theme and was influential on the price activity. Overall we classify this session as a neutral balancing day. Range was 43 handles on 1.427M contracts exchanged.
…Transition from Cycle Day 2 to Cycle Day 3
This leads us into Cycle Day 3: This week opens with price trading near all-time highs in a two-day balanced zone between (5750 – 5780) core value area. Plan for this day and is same for every day…Identifying key inflection zones and selecting our trades that are in-alignment with the core directional dynamics for each session.
Trading Balanced Zones such as we have currently can be challenging. Break Out or Fake Out? PTG’s core trade premise for trading a breakout is to wait for a clean Clear and Convert (CnC) of key level and enter on first pullback testing the breakout level. IF successful, action is to trade in direction of the breakout.
Trading a failed breakout attempt is a “Look Above (Below) and Fail” also known as “The Whiplash” as price fails to hold above (below) key level. The actionable trade is to trade “opposite” the attempted breakout for a reversionary play back to mid-balance zone.
How to make trade decisions…We highly recommend you watch PTG Educational Video: “Techniques in Probability Thinking” You will learn the core IF, THEN, ELSE OODA Loop Decision Matrix.
Below is a graphic from the video that describes various ways to trade balanced ranges.
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 5780, initially targets 5800 – 5805 zone.
Bear Scenario: Price sustains an offer below 5750, initially targets 5730 – 5725 zone.
PVA High Edge = 5768 PVA Low Edge = 5751 Prior POC = 5763
ES Chart (Profile)
Nasdaq 100 (NQ)
Prior Session was Cycle Day 2: This session was a typical (CD2) MATD rhythmic day following an upside breakout to new all-time highs. Triple Options Expiration (TOPEX) was the core theme and was influential on the price activity. Overall we classify this session as a neutral balancing day. Range was 224 handles on 468k contracts exchanged.
…Transition from Cycle Day 2 to Cycle Day 3
This leads us into Cycle Day 3: This week opens with price trading near all-time highs in a two-day balanced zone between (19970 – 20130) core value area. Plan for this day and is the same every day…Identifying key inflection zones and selecting our trades that are in-alignment with the core directional dynamics for each session.
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 20130, initially targets 20250 – 20295 zone.
Bear Scenario: Price sustains an offer below 19970, initially targets 19815 – 19765 zone.
PVA High Edge = 20058 PVA Low Edge = 19976 Prior POC = 20034
NQ Chart (Profile)
Economic Calendar
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.”
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