Markets
If history is any guide: “The entire week of Thanksgiving has averaged a 60 basis point, or 0.60 percentage point, advance for the S&P 500, with the best returns coming on Wednesday and Black Friday.
The week is also typically characterized by some of the lowest trading volumes of the year. That could change this time around, with President Biden expected to announce his pick for Fed Chair in the coming days.
Source: SeekingAlpha.com
Economic Calendar
10:00 Existing Home Sales
11:30 Results of $58B, 2-Year Note Auction
1:00 PM Results of $59B, 5-Year Note Auction
https://www.investing.com/economic-calendar/
***New: PTG Trading Room Chat Log’s Link
S&P 500
Tuesday’s Session was Cycle Day 2 (CD2): OPEX during this session as prices whip-sawed back n forth throughout the day, settling near the pinned 4700 strike price. Range was 39 handles on 1.222M contracts exchanged.
…Transition from Cycle Day 2 to Cycle Day 3
This leads us into Cycle Day 3 (CD3): Minimum 3 Day Cycle objective (4703) has been fulfilled, as a shorten holiday week may result in constricted volumes and range. But do not let your guard down as sharp moves can always occur without notice. As such, estimated scenarios to consider for today’s trading.
1.) Price sustains a bid above 4705, initially targets 4717 – 4723 zone.
2.) Price sustains an offer below 4705, initially targets 4700 – 4695 zone.
*****The 3 Day Cycle has a 91% probability of fulfilling Positive Cycle Statistics covering 12 years of recorded tracking history.
PVA High Edge = 4705 PVA Low Edge = 4693 Prior POC = 4698
Range Projections and Key Levels (ES) December 2021 (Z) Contract
HOD ATR Range Projection: 4716; LOD ATR Range Projection: 4692; 3 Day Central Pivot: 4694; 3 Day Cycle Target: 4703; 10 Day Average True Range 32; VIX: 18
Nasdaq 100 (NQ)
Today is Cycle Day 3 (CD3)…Price is beginning the shortened holiday week at all-time highs. NQ has been “on-fire” recently as bulls continue to pile into high-tech stocks. Prior range was 138 handles on 529k contracts exchanged. As such, there are two estimated scenarios to consider for today’s trading.
PVA High Edge = 16695 PVA Low Edge = 16544 Prior POC = 16571
Bull Scenario: IF Bulls sustain a bid above 16628, THEN initial upside estimate targets 16655 – 16662 zone.
Bear Scenario: IF Bears sustain an offer below 16628, THEN initial downside estimate targets 16583 – 16570 zone.
Range Projections and Key Levels (NQ) December 2021 (Z) Contract
HOD ATR Range Projection: 16468; LOD ATR Range Projection: 16137; 3 Day Central Pivot: 16444; 3 Day Cycle Target: 16570; 10 Day Average True Range: 195; VIX: 18
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.
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