Markets Investors start the week with a looming U.S. interest rate hike on the table, a move that will likely set the tone for the markets going into 2016. Not only will the Fed decide whether to raise rates for the first time in a decade, the central bank will also look to assure investors on the likely path of rate increases for the future. Despite market jitters over the last several days, U.S. futures are now modestly in the green.  (Source: Seeking Alpha)

Today’s Economic Calendar

No events scheduled.

PTG Trading

FOMC Meeting, QUAD Options Expiration are the “Main Event” this week as traders have been in “risk-off” mode, progressively selling across Asset Classes. Crude Oil at seven year lows continues to be a drag since it is a proxy of economic growth.

Today is Cycle Day 3 (CD3)….NEUTRAL SPILL UP…Odds of 3D Rally > 10 = 83%; Odds of 3D Rally > 20 = 54%; Average Range = 17.75; Max Average Range = 22.00; Possible HOD = 2035.75; Possible LOD = 1087.75.

***Note: The odds highlighted are NOT predictions or trade recommendations, rather a guide based upon historical observed occurrences.

Today’s Hypotheses: March 2016 (H) 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 clear and convert PL (1998.50, THE odds (83%) favor a rally attempt targeting CD1 Low (2035.75). Initial objective will be for price to reach 2014.25 Central Pivot. Conversion of this level targets 2022.00, followed by 2030.50, then 2035.75.

Scenario 2: Failure to convert PL (1998.50) keeps selling pressure dominant with downside targets measuring 1990.50 SPOT, followed by 1988.50 – 1982.50 STATX Zone.

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

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