In Europe, at midday, London -0.6%. Paris -0.6%. Frankfurt -1.2%.
Futures at 6:20, Dow -0.5%. S&P -0.5%. Nasdaq -0.5%. Crude -1.2% to $55.04. Gold +0.2% to $1285.30. Bitcoin +6.8% to $7046.
Ten-year Treasury Yield -4 bps to 2.34%
Economic Calendar
7:00 MBA Mortgage Applications
8:30 Consumer Price Index
8:30 Retail Sales
8:30 Empire State Mfg Survey
10:00 Business Inventories
10:00 Atlanta Fed’s Business Inflation Expectations
10:30 EIA Petroleum Inventories
4:00 PM Treasury International Capital
4:00 PM Fed’s Rosengren: U.S. Economy
PTG Trading
S&P 500 (ES)
Today is Cycle Day 1 (CD1)…Normal is for decline with average measuring 2558.50. Overnight trade has price trading at 2562 which is 10-day Average True Range.
Prior DTS Briefing Reports have outlined potential for further price weakness IF bulls are unable to recover above declining 3 Day Central Pivot Zone (see today’s chart). This zone has shifted to bearish formation and failure of buyers to recover above has a Change of Character from buying dips to selling bounces.
Nasdaq 100 (NQ)
Naz price weakness is becoming more apparent as bounces are being aggressively sold with declining Value Zones. Price currently in overnight trade has reached 6257.42 Cycle Day 1 Average Decline. Further weakness below this level during RTH measures lower cycle targets 6246…6237.75…6223 at extremes.
Range Projections and Key Levels (ES)
HOD ATR Range Projection: 2576.25; LOD ATR Range Projection: 2562.25; Cycle Day 1 Low: 2571.50; 3 Day Central Pivot: 2577.50; 3 Day Cycle Target: 2580.25; 10 Day Average True Range: 14.25; VIX: 12.86
**Note: The odds highlighted are NOT predictions or trade recommendations, rather a guide based upon historical observed occurrences.
Today’s Hypotheses: December 2017 (ESZ) 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: Bulls MUST strongly defend against any further price weakness and recover above 2575 at minimum. Failure to accomplish this opens door for additional selling with today’s cycle extreme measuring 2554 handle.
Scenario 2: Bears are in position with price below decline Central Pivots to press hard to force additional long selling. Risk marker is now 2585 handle.
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