S&P 500
Prior Session was Cycle Day 3: Markets notched a negative week as long-liquidation post FOMC and Presidential Election have now completed round-trip. Throughout last week DTS Briefing has been guiding our community to be mindful of potential decline.
“Risk of sharp pullback/decline is now elevated given impactful news events (Election…FOMC) are now in the rearview mirror. Profit-taking becomes a real possibility should the FOMO buyers decide to take a step back.”
As sharp as this past weeks decline was, price has only retreated approximately 50% of 11/4 – 11/8 week with price holding the 5 EMA @ 5900. IF this a “garden-variety” decline just relieving the “election-excitement”, THEN we should be anticipating the BTFD crowd to step-in soon.
For a more detailed recap of the trading session, click on this link: Trading Room RECAP 11.15.24
Check out the link to learn more about the Taylor 3-Day Cycle and secure your FREE TRIAL.
…Transition from Cycle Day 3 to Cycle Day 1
Transition into Cycle Day 1: Previous session’s decline has fulfilled the CD1 Low average decline projection, so we’ll be monitoring price action carefully for signs of possible reversal/short squeeze scenario.
Should a retest of CD3 Low unfold, be mindful for potential Look Below and Fail/Reversal (i.e. Whiplash Trade). As on the way down where levels were broken, so will be on the way back up. Market will be in search of zonal acceptance balance.
So with this in mind, our “game-play” will remain true to our discipline in maintaining positioning that is aligned with market forces which 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 5890, initially targets 5915 – 5930 zone.
Bear Scenario: Price sustains an offer below 5890, initially targets 5875 – 5855 zone.
PVA High Edge = 5915 PVA Low Edge = 5880 Prior POC = 5891
ES (Profile)
Nasdaq 100 (NQ)
Prior Session was Cycle Day 3: NAZ has declined back into October’s multi-composite Point of Control (20440), so this week will be decisive on whether the BTFD crowd returns to bargain hunting. Prior session range was 576 handles on 673K contracts exchanged.
…Transition from Cycle Day 3 to Cycle Day 1
Transition into Cycle Day 1: Previous session’s decline has fulfilled the CD1 Low average decline projection, so we’ll be monitoring price action carefully for signs of possible reversal/short squeeze scenario.
Should a retest of CD3 Low unfold, be mindful for potential Look Below and Fail/Reversal (i.e. Whiplash Trade). As on the way down where levels were broken, so will be on the way back up. Market will be in search of zonal acceptance balance.
So with this in mind, our “game-play” will remain true to our discipline in maintaining positioning that is aligned with market forces which 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 20500, initially targets 20670– 20705 zone.
Bear Scenario: Price sustains an offer below 20500, initially targets 20405 – 20325 zone.
PVA High Edge = 20674 PVA Low Edge = 20406 Prior POC = 21496
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.”
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