S&P 500 (ES)
Prior Session was Cycle Day 2: Chop Early, Pop Later (As Advertised)
Markets opened the week doing what CD2 does best —
confuse the impatient, reward the prepared.
Early trade was choppy, two-way, and loud enough to shake out anyone who forgot what cycle they were in. Meanwhile, PTG stayed boring… which is usually expensive for everyone else.
For greater detail of how this day unfolded, click on the Trading Room RECAP 1.12.26 link.
…Transition from Cycle Day 2 to Cycle Day 3
Transition into Cycle Day 3: Targets Achieved — 92% Cycle Stat Still Standing
Bulls briefly reclaimed a narrative that slipped late Friday afternoon. What looked like a “problem” was nothing more than a routine hiccup—an opportunistic inventory reload served up by what PTG affectionately labels the uninformed.
Overzealous shorts obliged, handing the BTFD crowd textbook entries at wholesale prices.
Today marks Cycle Day 3, and with the Positive 3-Day Cycle Statistic (92%) already satisfied, the session earns its designation as a wild-card.
With upside objectives met, momentum naturally cooled late in the prior session, slipping back beneath the 6995 “Line in the Sand.” That loss of altitude re-opens the runway for continued downside rotation toward the 6980–6975 key support zone.
As traders, direction is secondary.
What matters is rotation and rhythm.
Higher prices aren’t “good.”
Lower prices aren’t “bad.”
Both are simply honest expressions of a healthy, two-way auction.
This is the market doing what it does best:
ebb. flow. rotate.
Let the rotations continue.
🎯 Cycle Day 3 Focus
Scenarios to consider for today’s trading.
🟢 Bull Case
-
Hold north of 6995 +- 5 pts targets 7015…7020…7025
🔴 Bear Case
-
Hold south of 6995 +- 5 pts targets 6985…6980…6975
PVA High Edge = 7024 PVA Low Edge = 6998 Prior POC = 7016
⚠️ Tactical Takeaway
Of course, nothing changes for PTG…Simply follow your plan. Take only Triple A setups and manage the $risk. ALWAYS HAVE HARD STOP-LOSSES in-place on the exchange.
PTG’s Primary Directive (PD) is to ALWAYS STAY IN ALIGNMENT with the DOMINANT FORCE.
ESH
Nasdaq (NQ)
…Transition from Cycle Day 2 to Cycle Day 3
Transition into Cycle Day 3: NQ in Lock-Step with ES
The Nasdaq marched in lock-step with the S&P during the prior session, cleanly satisfying its cycle objectives. Importantly, upside targets remain unfinished business, which places today—much like ES—squarely in wild-card territory for directional control.
Recent sessions have showcased flip-flopping swing rhythms, suggesting the market may still be dancing to a familiar tune. Think Swing-Dance Era (1920s–1940s)—measured steps, rotations, and tempo shifts—very much alive as Cycle Day 3 begins its auction.
No panic.
No drama.
Just rotation doing what rotation does best.
Energy is transferring.
Froth is bleeding off.
And the broader trend remains intact.
🔄 Rotation… Rotation… Rotation
As Cycle Day 3 matures, sideways and two-way trade continues to dominate the rhythm. This is constructive digestion—price working off gains while quietly maintaining a bullish posture beneath the hood.
Strength isn’t defined by vertical price action.
It’s defined by how the market rests after it flexes.
And right now, Nazzy is resting like a professional.
🎯 Cycle Day 3 Focus
Scenarios to consider for today’s trading.
🟢 Bull Case
-
Hold north of 25820 +- 10 pts targets 25925…25975…26000
🔴 Bear Case
-
Hold south of 25820 +- 10 pts targets 25750…25700…25680
PVA High Edge = 26000 PVA Low Edge = 25888 Prior POC = 25966
⚠️ Tactical Takeaway
Of course, nothing changes for PTG…Simply follow your plan. Take only Triple A setups and manage the $risk. ALWAYS HAVE HARD STOP-LOSSES in-place on the exchange.
PTG’s Primary Directive (PD) is to ALWAYS STAY IN ALIGNMENT with the DOMINANT FORCE.
NQH
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.”
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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.
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