Markets
The rollercoaster on Wall Street continued overnight as U.S. stock index futures climbed 5% to hit ‘limit up’ levels.
The “whatever it takes” attitude was also seen by the Fed’s willingness to buy corporate bonds and corporate bond exchange traded funds.
Source: Seeking Alpha https://seekingalpha.com/
Economic Calendar https://www.investing.com/economic-calendar/
8:55 Redbook Chain Store Sales
9:45 PMI Composite Flash
10:00 New Home Sales
10:00 Richmond Fed Mfg.
1:00 PM Results of $40B, 2-Year Note Auction
***New: PTG Trading Room Chat Log’s Link
S&P 500
Prior Session was Cycle Day 3 (CD3)…Price fulfilled Positive 3 Day Cycle Statistics early in the session following FED’s announcement, but quickly faded, retesting session lows. Firm bid into the closing rotation set the tone for a continuation rally as we previewed this Scenario with PTG’s Live Trading Room Community.
Posted last night during Asian Session:
>>PTGDavid :(10:00:39 PM) : @ES Looking good during Asian Session…Bullish Bids abound…Price holding and rallying from Prior VAH>>>One of the bullish scenarios we covered prepping for Cycle Day 1
>>PTG: PTGDavid :(10:04:36 PM) : MARKETS NEVER SLEEP >> Overnight Trading very smooth and controlled…So much different than the RTH “Cowboy” Session
This leads us into today’s Cycle Day 1 (CD1)…Normal for CD1 is some magnitude decline. Strong bids squelched any decline as price rallied to “limit-up” and into 3 Day Central Pivot Zone between 2300 – 2342.
Bulls will need to convert this zone to support to continue the current rally. Further upside targets 2360…2386…2400 Roundie.
Overseas Markets are currently trading in positive territory, as prices hit LIMIT UP during overnight trade action. GREEN IS REFRESHING COLOR!
We’ll keep the “High Surf Warning” posted for the foreseeable future.
P-VA High = 2265 P-VA Low = 2210 P-POC = 2230
Bull Scenario: IF Bulls hold bid above 2320, THEN initial upside estimate targets 2330 – 2345 zone
Bear Scenario: IF Bears hold offer below 2320, THEN initial downside estimate targets 2310 – 2300 zone.
Range Projections and Key Levels (ES) June 2020 (M) Contract
HOD ATR Range Projection: 2395.00; LOD ATR Range Projection: 2168.00; 3 Day Central Pivot: 2321.00; 3 Day Cycle Target: 2293.00; 10 Day Average True Range 165.00; VIX: 55.00
Nasdaq 100 (NQ)
Today is Cycle Day 1 (CD1)…Price has rallied overnight to “limit-up” as well as CD1 Penetration Target Zone between 7339 – 7367.
P-VA High = 7040 P-VA Low = 6880 P-POC = 6950
Bull Scenario: IF Bulls hold bid above 7300, THEN initial upside estimate targets 7340 – 7370 zone.
Bear Scenario: IF Bears hold offer below 7300, THEN initial downside estimate targets 7250 – 7210 zone.
Range Projections and Key Levels (NQ) June 2020 (M) Contract
HOD ATR Range Projection: 7552.00; LOD ATR Range Projection: 6813; 3 Day Central Pivot: 7103.00; 3 Day Cycle Target: 7032.00; 10 Day Average True Range: 546.00; VIX: 55.00
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
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