S&P 500 (ES)
Prior Session was Cycle Day 2: Consolidation > Celebration
Good morning opened with business as usual: links posted, charts prepped, and the rhythm of Cycle Day 2 firmly in play. No fireworks promised—and the market largely honored that contract.
For greater detail of how this day unfolded, click on the Trading Room RECAP 1.7.26 link.
…Transition from Cycle Day 2 to Cycle Day 3
Transition into Cycle Day 3: Targets Achieved — 92% Cycle Stat Remains Intact
With upside objectives fulfilled, bulls began to lose momentum late in the prior session, slipping back below the 6985 “Line in the Sand.”
That loss of altitude opens the door for continued downside rotation toward the 6940 key support zone.
As traders, direction is secondary. What matters is rotation and rhythm. Higher prices are no more “good” than lower prices are “bad”—both are simply expressions of a healthy, two-way auction process.
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 6965 +- 5 pts targets 6975…6985…6995
🔴 Bear Case
-
Hold south of 6965 +- 5 pts targets 6940…6930…6925
PVA High Edge = 7003 PVA Low Edge = 6980 Prior POC = 6991
⚠️ 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: Snazzy Nazzy continues to flex its bullish muscles like Hans & Franz — “We will pump you up!”
The Elliott Wave Patrol proudly waved their banners as the upside five-wave sequence methodically fulfilled its targets, right on cue. Mission accomplished. Late-session profit-taking then stepped in, producing a healthy pullback rather than any sign of structural damage.
This is exactly what strong markets do.
No panic. No drama. Just rotation doing its job — energy transferring, froth bleeding off, and the trend staying intact.
🔄 Rotation… Rotation… Rotation
Sideways and two-way trade remains the dominant rhythm as Cycle Day 3 matures, allowing price to digest gains while maintaining bullish posture beneath the hood.
Strength is not about going straight up — it’s about how the market rests after flexing. And right now, Nazzy is resting like a pro.
🎯 Cycle Day 3 Focus
Scenarios to consider for today’s trading.
🟢 Bull Case
-
Hold north of 25830 +- 10 pts targets 25905…25950…25970
🔴 Bear Case
-
Hold south of 25830 +- 10 pts targets 25785…25760…25745
PVA High Edge = 25932 PVA Low Edge = 25803 Prior POC = 25903
⚠️ 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.”
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