Markets
Stock index futures are wobbling once again, all down 0.5%, ahead of a big day of earnings from several blue-chip companies. The reports and the outlooks will determine whether recent stock valuations are justified and could provide a forecast of what things will look like for the rest of the year.
Source: SeekingAlpha.com
Economic Calendar
8:55 Redbook Chain Store Sales
***New: PTG Trading Room Chat Log’s Link
S&P 500
Prior Session was Cycle Day 1 (CD1): Normal CD1 unfolded with a decline down to 4141.50. Prior range was 33 handles on 1.584M contracts exchanged.
…Transition from Cycle Day 1 to Cycle Day 2
This leads us into Cycle Day 2 (CD2): Price has given-up overnight gains and is currently trading below CD1 Low (4141.75). Staying below this level is a bearish signal, so bulls need to recover and reassert price strength. As such, there are two estimated scenarios to consider for today’s trading.
1.) Price sustains a bid above 4142, initially targets 4152 – 4160 zone.
2.) Price sustains an offer below 4142, initially targets 4132 – 4127 zone.
*****3 Day Cycle has a 91% probability of fulfilling Positive Statistic covering 12 years of recorded tracking history.
PVA High Edge = 4159 PVA Low Edge = 4146 Prior POC = 4157
Range Projections and Key Levels (ES) June 2021 (M) Contract
HOD ATR Range Projection: 4157; LOD ATR Range Projection: 4140; 3 Day Central Pivot: 4160; 3 Day Cycle Target: 4175; 10 Day Average True Range 26.50; VIX: 18
Nasdaq 100 (NQ)
Today is Cycle Day 2 (CD2)…Price is currently trading within prior value area in the lower 25% quartile of yesterday’s range and has successfully tested the CD1 Low (12821). Prior Range was 231.25 handles on 608k contracts exchanged. As such, there are two estimated scenarios to consider for today’s trading.
PVA High Edge = 13939 PVA Low Edge = 13841 Prior POC = 13876
Bull Scenario: IF Bulls sustain a bid above 13876, THEN initial upside estimate targets 13916 – 13933 zone.
Bear Scenario: IF Bears sustain an offer below 13876, THEN initial downside estimate targets 13841 – 13821 zone.
Range Projections and Key Levels (NQ) June 2021 (M) Contract
HOD ATR Range Projection: 13974; LOD ATR Range Projection: 13774; 3 Day Central Pivot: 13959; 3 Day Cycle Target: 14181; 10 Day Average True Range: 160; VIX: 18
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