Markets (Top Stories)
Economic Calendar
https://www.investing.com/economic-calendar/
S&P 500
Prior Session was Cycle Day 1 (CD1): Price traded within range parameters (4775 – 4795) outlined in prior DTS 1.18.24 briefing. Afternoon rally unfolded at the 2 pm “Shake n Bake” driven by aggressively strong “Zero-Dark-Thirty” (0DTE) options flow in both SPY and NDX.
As noted in the PTG Trading Room:
PTGDavid: (2:33:15PM): ***Be sure to monitor Options Flow at KEY ZONES….Such as today’s LINE IN SAND >>> 4775
Here is a link to @SpotGamma’s commentary regarding today’s 0DTE options driven rally. https://twitter.com/i/status/1748131049786282154
Prior range was 53 handles on 1.659M contracts exchanged.
…Transition from Cycle Day 1 to Cycle Day 2
This leads us into Cycle Day 2 (CD2): Markets closed yesterday at the upper end of the 10 Day Average True Range driven by late options flow rally. Minimum 3 Day Rally Objective (4805) has been fulfilled, so we will be looking for bulls to maintain control on any consolidative pullback. As always, stay flexible and in-alignment with the primary intra-day forces. As such, scenarios to consider for today’s trading.
Bull Scenario: Price sustains a bid above 4815, initially targets 4830 – 4835 zone.
Bear Scenario: Price sustains an offer below 4815, initially targets 4800 – 4795 zone.
PVA High Edge = 4796 PVA Low Edge = 4773 Prior POC = 4785
Range Projections and Key Levels (ES) March 2024 (H) Contract
HOD ATR Range Projection: 4861; LOD ATR Range Projection: 4762; 3 Day Central Pivot: 4790; 3 Day Cycle Target: 4836; 10 Day Average True Range 53; VIX: 14
Nasdaq 100 (NQ)
Prior Session was Cycle Day 1 (CD1): NAZ maintained a consistent bid throughout this cycle day as Zero-Dark-Thirty (0DTE) options flow pushed price to closing highs of the day. Prior range was 291 handles on 836k contracts exchanged.
…Transition from Cycle Day 1 to Cycle Day 2
This leads us into Cycle Day 2 (CD2): Three Day Cycle Objective has been fulfilled (17156), so with bulls dominant, we will continue to focus on long-sided trade opportunities to close out the week.
NOTE: Please watch the @SpotGamma video commentary linked above for more in-depth analysis of today’s rally. As always, stay flexible and in-alignment with the primary intra-day forces. As such, scenarios to consider for today’s trading.
Bull Scenario: Price sustains a bid above 17115, initially targets 17170 – 17240 zone.
Bear Scenario: Price sustains an offer below 17115, initially targets 16985 – 16965 zone.
PVA High Edge = 17095 PVA Low Edge = 16990 Prior POC = 17018
Range Projections and Key Levels (NQ) March 2024 (H) Contract
HOD ATR Range Projection: 17357; LOD ATR Range Projection: 16908; 3 Day Central Pivot: 16937; 3 Day Cycle Target: 17156; 10 Day Average True Range: 250; VIX: 14
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
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