Trade Strategy 10.22.24

S&P 500

Prior Session was Cycle Day 2: Prior DTS Briefing 10.21.24 played out like a charm, as price tested 5915 upper target and was promptly rejected, setting the stage for a reversal. The lower target zone between 5875 – 5870 also was tagged where BTFD buyers stepped-in giving good support and keeping the multi-day consolidation intact. Prior range was 50 handles on 1.019M contracts exchanged.

For a more detailed recap of the trading session, click on this link: Trading Room RECAP 10.21.24

Check out the link to learn more about the Taylor Cycle and secure your FREE TRIAL.

 …Transition from Cycle Day 2 to Cycle Day 3

Transition into Cycle Day 3: Once again the market finds itself in a multi-day consolidation pattern outlined by 5850 – 5925 outer-edges with the inner value area marked between 5880 – 5915. Until there is a definitive directional move, expectation is for more of the same rhythms between these levels.

Attention is going to be redirected to upcoming swath of corporate earnings releases.  Earnings Calendar

Our discipline of maintaining positioning that is aligned with market forces continues to serve us well, so stay the course.

As such, scenarios to consider for today’s trading. 

Bull Scenario: Price sustains a bid above 5895, initially targets 5915 – 5920 zone. 

Bear Scenario: Price sustains an offer below 5895, initially targets 5875 – 5870 zone.

PVA High Edge = 5905     PVA Low Edge = 5884         Prior POC = 5900

   ES (Chart Profile)

 

Nasdaq 100 (NQ)

Prior Session was Cycle Day 2: Price tested the 20350 key two-day low/value high level as outlined in previous briefings. Many of these same levels have been “trafficked” multiple times over that they have “tire-tread” marks. We’ll continue to reference levels that define this multi-day composite consolidation zone. Prior range was 210 handles on 444k contracts exchanged.

 …Transition from Cycle Day 2 to Cycle Day 3

Transition into Cycle Day 3: Once again the market finds itself in a multi-day consolidation pattern outlined by 20200 – 20670 outer-edges with the inner value area marked between 20300 – 20500. Until there is a definitive directional move, expectation is for more of the same rhythms between these levels.

Our discipline of maintaining positioning that is aligned with market forces continues to serve us well, so stay the course.

As such, scenarios to consider for today’s trading.

Bull Scenario: Price sustains a bid above 20530, initially targets 20585– 20615 zone. 

Bear Scenario: Price sustains an offer below 20530, initially targets 20470 – 20450 zone.

PVA High Edge = 20512      PVA Low Edge = 20415         Prior POC = 20453

NQ Chart (Profile)

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

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