Markets
Traders are again shifting their focus to Europe, where the ECB will provide its first interest rate decision since the U.K. voted to leave the EU. Much like the Bank of England, the central bank is likely to wait for post-Brexit data to be released before making any significant policy decisions, but may tweak its bond-buying program. In addition to Brexit issues, Mario Draghi is likely to field questions about the ECB’s June TLTRO and Italy’s troubled banking sector.
In Asia, Japan +0.8% to 16810. Hong Kong +0.5% to 22000. China +0.4% to 3039. India -0.7% to 27711.
In Europe, at midday, London -0.3%. Paris -0.2%. Frankfurt flat.
Futures at 6:20, Dow -0.1%. S&P -0.1%. Nasdaq flat. Crude +0.3% to $45.87. Gold +0.1% to $1320.10.
Ten-year Treasury Yield +1 bps to 1.59%
(Source: Seeking Alpha)
Economic Calendar
8:30 Initial Jobless Claims
8:30 Philly Fed Business Outlook
8:30 Chicago Fed National Activity Index
9:00 FHFA House Price Index
9:45 Bloomberg Consumer Comfort Index
10:00 Existing Home Sales
10:00 Leading Indicators
10:30 EIA Natural Gas Inventory
4:30 PM Money Supply
4:30 PM Fed Balance Sheet
PTG Trading
S&P Futures (ES) moved to the top part of its current range in prior session aided with the strength of Nasdaq, notably Microsoft (MSFT). Ranges and volumes continue to be lethargic during mid-summer trade as investors/traders remain focused on the plethora of earnings report releases. Bulls continue to have control as uptrend remains solidly in place.
Today is Cycle Day 2 (CD2)…There continues to be plenty of upside potential to reach 3D Cycle Target 2179.25. Key support zone 2152 – 54.
Range Projections and Key Levels: Sept (U) Contract
HOD Range Projection: 2179.00; LOD Range Projection: 2154.00; Cycle Day 1 Low: 2155.25; 3 Day Central Pivot: 2160.00; 3 Day Cycle Target: 2179.25; 10 Day Average True Range: 16.30
**Note: The odds highlighted are NOT predictions or trade recommendations, rather a guide based upon historical observed occurrences.
Today’s Hypotheses: September (U) Contract
*****The levels outlined below are more general framework within a larger range…They are to be used are reference prices from which to consider trade opportunities, not hard trade levels.
Scenario 1: IF price converts PH (2169.75) to support, THEN upside is open to 2173.50, followed by 2178 – 80 zone.
Scenario 2: Currently it would take a concerted sell effort to violate multiple levels of support to shift price dynamics to bear-mode. Initial Pivot Support is located at 2160 3D Pivot, followed by 2152 – 52 zone.
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