Trade Strategy 3.14.16

Markets

Global shares are trading higher across the board, buoyed by last week’s gains on Wall Street that saw the Dow and S&P 500 close above their 200-day moving averages for the first time this year. Investors are also shaking off initial skepticism over the ECB’s latest stimulus package and are increasing bets that oil prices could be bottoming out. Cautious sentiment could prevail following today’s session though, with policy decisions by the Bank of Japan on Tuesday, the U.S. Federal Reserve on Wednesday and the Bank of England on Thursday.

Traders are also gearing up for a week packed with economic data, as February retail sales and inflation reports get set to dominate the calendar. What else is on tap? Housing Starts, Industrial Production, Job Openings, Philly Fed, Consumer Sentiment Index, and the Commerce Department’s current account for the fourth quarter. The reports could shed more light on the health of the U.S. economy and the future path of monetary policy

In Asia, Japan +1.7% to 17233. Hong Kong +1.2% to 20435. China +1.8% to 2860. India +0.4% to 24804.
In Europe, at midday, London +0.6%. Paris +0.5%. Frankfurt +1.6%.
Futures at 6:20, Dow +0.1%. S&P +0.1%. Nasdaq flat. Crude -2% to $37.72. Gold flat at $1257.70.
Ten-year Treasury Yield flat at 1.97%

(Source: Seeking Alpha)

Today’s Economic Calendar

No events scheduled.

PTG Trading

S&P e-mini (ES) continued to grind higher in Friday’s Session surpassing 3 Day Cycle Target of 2007.00 (June Contract). Contract rollover continues this week with March Options Expiring Friday. Overnight trade is relatively quiet as price is quoted at 2005.00.

Today is Cycle Day 3 (CD3)…IFFY SPILL…Since Cycle Target has been fulfilled, price can go either direction…We will begin today’s session neutral until Mr. Market reaffirms upside direction or a reversal develops.

Range Projections and Key Levels: June (M) Contract

HOD Range Projection = 2031.58; LOD Range Projection = 1985.17; CD3 Maximum Penetration Level = 2021.62; CD3 Maximum Violation Level = 1967.25; Cycle Day 1 Low = 1958.00; 3 Day Central Pivot = 1986.00; 3 Day Cycle Target = 2007.00; 10 Day Average True Range = 26.33.

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

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Today’s Hypotheses: June (M) 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 clears and converts PH (2012.75), THEN upside objective measures 2018.25 – 2022.25 STATX Zone.

Scenario 2: Failure to convert PH (2012.75) and subsequent violation and conversion of 2003.00 opens door to a deeper decline / correction in price targeting 2000.00 – 1995.00 Central Pivot Zone. Weakness below this zone accelerates selling measuring 1988.00 – 1984.00 3 Day Central Pivot 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

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.
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

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