Trade Strategy 1.11.23

Markets

Source: SeekingAlpha.com

Economic Calendar

10:00 Atlanta Fed’s Business Inflation Expectations
10:30 EIA Petroleum Inventories
1:00 PM Results of $32B, 10-Year Note Auction

https://www.investing.com/economic-calendar/

 

S&P 500

***Written Tuesday evening for Wednesday’s trading for contribution to MrTopStep’s “The Opening Print” publication.

Prior Session was Cycle Day 1 (CD1): Normal Cycle Day 1 as price declined establishing a low at 3891.50. Prior range was 52 handles on 1.477M contracts exchanged. 

 …Transition from Cycle Day 1 to Cycle Day 2

This leads us into Cycle Day 2 (CD2): Rally which began during prior session has plenty of room to continue higher, though normal for CD2 would be for some back n fill consolidation to make sure any left-over sellers are absorbed, before rally continuation can unfold. Market may also be on “hold” as well with the all import CPI print scheduled for Thursday pre-open. As such, estimated scenarios to consider for today’s trading.

Bull Scenario: Price sustains a bid above 3935, initially targets 3955 – 3960 zone. 

Bear Scenario: Price sustains an offer below 3935, initially targets 3920 – 3915 zone.

PVA High Edge = 3930       PVA Low Edge = 3905         Prior POC = 3920

*****The 3 Day Cycle has a 91% probability of fulfilling Positive Cycle Statistics covering 12 years of recorded tracking history.

For more detailed information for both bullish and bearish projected targets, please visit: PTG 3 Day Cycle and/or reference the Cycle Spreadsheet below:

Link to access full Cycle Spreadsheet  > > Cycle Day 2 (CD2)

Range Projections and Key Levels (ES) March 2023 (H) Contract

HOD  ATR Range Projection: 4004; LOD ATR Range Projection: 3884; 3 Day Central Pivot: 3915; 3 Day Cycle Target: 3996; 10 Day Average True Range  70; VIX: 20

Nasdaq 100 (NQ)

Today is Cycle Day 2 (CD2)…Rally which began during prior session has plenty of room to continue higher, though normal for CD2 would be for some back n fill consolidation to make sure any left-over sellers are absorbed, before rally continuation can unfold. Market may also be on “hold” as well with the all import CPI print scheduled for Thursday pre-open. As such, estimated scenarios to consider for today’s trading.      

Bull Scenario: IF Bulls sustains bid above 11240, THEN initial upside estimate targets 11330– 11360 zone.

Bear Scenario: IF Bears sustains offer below 11240, THEN initial downside estimate targets 11225 – 11205 zone.

PVA High Edge = 11240       PVA Low Edge = 11151     Prior POC = 11200

Range Projections and Key Levels (NQ) March 2022 (H) Contract

HOD  ATR Range Projection: 11507; LOD ATR Range Projection: 11057; 3 Day Central Pivot: 11153; 3 Day Cycle Target: 11539; 10 Day Average True Range: 267; VIX: 20

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

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