The Federal Reserve will conclude its latest two-day meeting this afternoon and the stakes couldn’t be higher. The central intends to end its pandemic-era bond purchases, a process known as “tapering,” by stepping away from a historic level of support for the economy. Since June 2020, the Fed has been buying $120B in monthly asset purchases, including $80B in Treasury bonds and $40B in mortgage-backed securities.
9:45 PMI Composite Final
10:00 Factory Orders
10:00 ISM Service Index
10:30 EIA Petroleum Inventories
2:00 PM FOMC Announcement
2:30 PM Chairman Press Conference
***New: PTG Trading Room Chat Log’s Link
***Written 8 pm Tuesday evening for Wednesday’s trading for contribution to MrTopStep’s “The Opening Print” publication.
Tuesday’s Session was Cycle Day 1 (CD1): This Cycle’s Average Decline (4590) was established during the previous CD3 session. Buyer’s continued the rally spilled over from the prior session to fulfill the upside 4622 range target. Range was 34 handles on 944k contracts exchanged.
…Transition from Cycle Day 1 to Cycle Day 2
This leads us into Cycle Day 2 (CD2): Normal for CD2 is for some back n fill to balance recent rally gains, with an upside bias. Buyer’s remain active on any down tick in price, as value zones continue to rise in uptrend condition. As such, estimated scenarios to consider for today’s trading.
1.) Price sustains a bid above 4615, initially targets 4625 – 4630 zone.
2.) Price sustains an offer below 4615, initially targets 4605 – 4595 zone.
*****The 3 Day Cycle has a 91% probability of fulfilling Positive Cycle Statistics covering 12 years of recorded tracking history.
For more detailed information for both bullish and bearish projected targets, please visit: PTG 3 Day Cycle and/or reference the Cycle Spreadsheet below:
Link to access full Cycle Spreadsheet > > Cycle Day 2 (CD2)
PVA High Edge = 4625 PVA Low Edge = 4615 Prior POC = 4621
Range Projections and Key Levels (ES) December 2021 (Z) Contract
Nasdaq 100 (NQ)
Today is Cycle Day 2 (CD2)…Price is consolidating near the upper end of previous value area (15962) during overnight activity. Prior range was 130 handles on 416k contracts exchanged. As such, there are two estimated scenarios to consider for today’s trading.
PVA High Edge = 15962 PVA Low Edge = 15917 Prior POC = 15954
Bull Scenario: IF Bulls sustain a bid above 15981, THEN initial upside estimate targets 16004 – 16012 zone.
Bear Scenario: IF Bears sustain an offer below 15981, THEN initial downside estimate targets 15944 – 15930 zone.
Range Projections and Key Levels (NQ) December 2021 (Z) Contract
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!
“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.”
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