Markets
With Twitter sale news coming fast and furious, Re/code reports that Alphabet (GOOG, GOOGL) isn’t planning to make an offer, and Apple (NASDAQ:AAPL) and Disney (NYSE:DIS) are unlikely as well. That may leave the driver’s seat open for Salesforce.com (NYSE:CRM), whose stock appears to drop the more it talks about buying the messaging service. Sources told Reuters that Twitter (NYSE:TWTR) intends to finalize discussions by Oct. 27, when it announces Q3 results. TWTR -15% premarket.
In Asia, Japan +0.5% to 16899. Hong Kong +0.7% to 23952. China closed. India -0.4% to 28106.
In Europe, at midday, London -0.2%. Paris -0.3%. Frankfurt -0.2%.
Futures at 6:20, Dow -0.2%. S&P -0.2%. Nasdaq -0.2%. Crude -0.1% to $49.79. Gold flat at $1268.70.
Ten-year Treasury Yield -1 bps to 1.7%
(Source: Seeking Alpha)
Economic Calendar
Chain Store Sales
7:30 Challenger Job-Cut Report
8:30 Initial Jobless Claims
8:30 Gallup Good Jobs Rate
9:45 Bloomberg Consumer Comfort Index
10:30 EIA Natural Gas Inventory
4:30 Money Supply
4:30 Fed Balance Sheet
PTG Trading
Our expectation for a Cycle Day 2 rebound (rally) outlined in prior DTS Briefing 10.5.16 played out perfectly as price reached the Average Cycle Rally Target (2154.00). Most of the rally occurred in Globex Session and not much was left for Cash Session traders to profit from unless you are a Super Mario Scalper.
Today is Cycle Day 3 (CD3)…This cycle’s primary objectives have been satisfied, so as such, price could trade either direction. Bulls must convert 2156 – 58 zone to upper support for increased odds of continuation rally. Bears are seeking to convert 2146 – 48 zone to lower resistance to force selling. Price is current trading near the 2 week pivot zone between 2150 – 2155 so it’s currently a stalemate for control
Range Projections and Key Levels
HOD Range Projection: 2167.00; LOD Range Projection: 2136.00; Cycle Day 1 Low: 2136.00; 3 Day Central Pivot: 2150.75; 3 Day Cycle Target: 2155.00; 10 Day Average True Range: 19.63
**Note: The odds highlighted are NOT predictions or trade recommendations, rather a guide based upon historical observed occurrences.
Today’s Hypotheses: September (Z) Contract
*****The levels outlined below are more general framework within a larger range…They are to be used are reference prices from which to consider trade opportunities, not hard trade levels.
Scenario 1: IF price can convert 2156 – 58 zone to upper support, THEN odds favor further upside resolution targeting 2161 – 63 zone with 2167 HOD Range Projection.
Scenario 2: IF Bears convert 2146 – 48 zone to lower resistance, THEN downside objective measures 2142.50 – 2140.50 STAX Zone, with 2136 – 2135 CD3 Max Violation and LOD Range Projection.
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.
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