Markets
The volatility isn’t over yet following Wall Street’s worst day since the 1987 crash. U.S. stock futures soared overnight and even hit a 4% “limit up” halt at one point, before plunging into the red, only to resurface moments later (S&P 500 futures are up 1% at the time of writing).
The calls to keep Wall Street open are growing louder despite circuit breakers being activated three times in the last six trading sessions. “Closing the markets would not change the underlying causes of the market decline, would remove transparency into investor sentiment, and reduce investors’ access to their money.
Source: Seeking Alpha https://seekingalpha.com/
Source: https://www.investing.com/indices/indices-cfds
Economic Calendar
8:30 Retail Sales
8:55 Redbook Chain Store Sales
9:15 Industrial Production
10:00 NAHB Housing Market Index
10:00 Business Inventories
10:00 Job Openings and Labor Turnover Survey
https://www.investing.com/economic-calendar/
***New: PTG Trading Room Chat Log’s Link
S&P 500
Prior Session was Cycle Day 1 (CD1)…Normal / Extreme Normal CD1 decline pushed price down hard yet again closing on lows of session.
During overnight trade, price held above CD1 Low (2350) and rallied to 4% LIMIT UP halt before back down retesting 2399.50 prior close.
This leads us into today’s Cycle Day 2 (CD2)…Typical CD2 “normal” would be for market to seek some stabilization and balance. Key to watch is for CD1 Low (2350) to continue to hold on any retest. Failure would open door for further declines, while conversion above 2445 opens door to a “Turn-Around Tuesday” Rally.
P – VA High = 2512 P – VA Low = 2424 P – POC = 2446
Bull Scenario: IF Bulls hold bid above 2400, THEN initial upside estimate targets 2460 – 2500 zone
Bear Scenario: IF Bears hold offer below 2400, THEN initial downside estimate targets 2370 – 2350 zone.
Range Projections and Key Levels (ES) March 2020 (H) Contract
HOD ATR Range Projection: 2653.00; LOD ATR Range Projection: 2215.00 3 Day Central Pivot: 2528.00; 3 Day Cycle Target: 2660.00; 3 Day Average True Range 282.00; VIX: 82.00
Nasdaq 100 (NQ)
Today is Cycle Day 2 (CD2)… Typical CD2 “normal” would be for market to seek some stabilization and balance. Key to watch is for CD1 Low (6906) to continue to hold on any retest. Failure would open door for further declines, while conversion above 7278 opens door to a “Turn-Around Tuesday” Rally.
P – VA High = 7475 P – VA Low = 7200 P – POC = 7260
Bull Scenario: IF Bulls hold bid above 7032, THEN initial upside estimate targets 7150 – 7200 zone.
Bear Scenario: IF Bears hold offer below 7032, THEN initial downside estimate targets 6964 – 6906 zone.
Range Projections and Key Levels (NQ) March 2020 (H) Contract
HOD ATR Range Projection: 7800.00; LOD ATR Range Projection: 6440.00; 3 Day Central Pivot: 7435.00; 3 Day Cycle Target: 7800.00; 3 Day Average True Range: 839; VIX: 82.00
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.”
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