Overnight, Dow Jones futures dipped 0.2%, while the Nasdaq was ahead by 0.1%. Contracts linked to the S&P 500 inched down 0.1% as traders size up what the deluge of earnings reports may mean for the market.
***New: PTG Trading Room Chat Log’s Link
Tuesday’s Session was Cycle Day 3 (CD3): Price completed this positive cycle by fulfilling target objectives with another all-time high. Range was 29.25 handles on 1.187M contracts exchanged.
…Transition from Cycle Day 3 to Cycle Day 1
This leads us into Cycle Day 1 (CD1): Normal for CD1 is an expectation of a decline measuring an average of 4130. Corporate Earnings is the main driver for price action in the near-term. Volatility Index (VIX) remains low with a reading of 17. As such estimated scenarios to consider for today’s trading.
1.) Price sustains a bid above 4166, initially targets 4172 – 4175 zone.
2.) Price sustains an offer below 4166, initially targets 4158 – 4156 zone.
*****3 Day Cycle has a 91% probability of fulfilling Positive Cycle Statistic covering 12 years of recorded tracking history.
PVA High Edge = 4178 PVA Low Edge = 4168 Prior POC = 4172
Range Projections and Key Levels (ES) June 2021 (M) Contract
HOD ATR Range Projection: 4190; LOD ATR Range Projection: 4145; 3 Day Central Pivot: 4150; 3 Day Cycle Target: 4195; 10 Day Average True Range 29; VIX: 17
Nasdaq 100 (NQ)
Today is Cycle Day 1 (CD1)…Expectation for this cycle day is a decline with average measuring 13751. continued consolidation within two-day Value Zone between 13958 – 14035. Prior range was 107 handles on 478k contracts exchanged. As such, there are two estimated scenarios to consider for today’s trading.
PVA High Edge = 14035 PVA Low Edge = 13990 Prior POC = 13026
Bull Scenario: IF Bulls sustain a bid above 13990, THEN initial upside estimate targets 14020 – 14034 zone.
Bear Scenario: IF Bears sustain an offer below 13990, THEN initial downside estimate targets 13970 – 13958 zone.
Range Projections and Key Levels (NQ) June 2021 (M) Contract
HOD ATR Range Projection: 14142; LOD ATR Range Projection: 13884; 3 Day Central Pivot: 13944; 3 Day Cycle Target: 14333; 10 Day Average True Range: 168; VIX: 17
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.”
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