U.S. stock index futures are up 1.3% as an earnings parade makes its way down Wall Street, with nearly 170 S&P 500 companies sharing results this week.
Carl Icahn says we won’t see crude prices in negative territory again, but it is sure looking more likely by the day. WTI plunged 25% on Monday, slumped another 20% overnight to $10/bbl, and there are still 20 days to go until the June settlement date.
Source: Seeking Alpha https://seekingalpha.com/
Economic Calendar https://www.investing.com/economic-calendar/
FOMC meeting begins
8:30 International trade in goods
8:30 Retail Inventories (Advance)
8:30 Wholesale Inventories (Advance)
8:55 Redbook Chain Store Sales
9:00 S&P Corelogic Case-Shiller Home Price Index
10:00 Consumer Confidence
10:00 Richmond Fed Mfg.
11:30 Results of $22B, 2-Year FRN Auction
1:00 PM Results of $35B, 7-Year Note Auction
Prior Session was Cycle Day 3 (CD3): Open Gap higher held bid throughout the session fulfilling cycle objectives with Positive 3 Day Rally.
…Transition from Cycle Day 3 to Cycle Day 1
This leads us into Cycle Day 1 (CD1): Objective for this cycle day is to “probe for a new secure low” from which to begin the next cycle’s rally.
Price decline did occur but it was shallow and found responsive buyers at prior Value Area Low (2850). Upwards acceleration above prior close (2767) & prior high (2881.25) propelled price into CD1 Penetration Zone and Average True Range Target 2908.
As we have been stating in Trading Room…
PTG Member :(11:02:07 AM) : Trend shift setting up?
PTGDavid :(11:02:55 AM) : It would take a shift below 2850 (LIS)
PTGDavid :(11:34:21 AM) : BIAS IS UP UP UP…so no shorting
PTGDavid :(2:42:57 PM) : Still primarily Long-Biased…as price continue to hold key support zones
PTG: PTGDavid :(2:43:06 PM) : No compelling reason to be short
PTGDavid :(3:24:01 PM) : MATRIX SEA Of GREEN = = = LONG ONLY
Source: PTG Trading Room Chat Logs
If you are “bold enough” to be shorting this price action…Best of Luck…For those of us at PTG…We trade Market’s Bias NOT personal bias.
P-VA High = 2872 P-VA Low = 2850 P-POC = 2868
Bull Scenario: IF Bulls hold bid above 2881, THEN initial upside estimate targets 2908 – 2912 zone
Bear Scenario: IF Bears hold offer below 2881, THEN initial downside estimate targets 2850 – 2843 zone.
Range Projections and Key Levels (ES) June 2020 (M) Contract
Nasdaq 100 (NQ)
Today is Cycle Day 1 (CD1)…Shallow pullback during overnight session has lead to strong rally propelling price above prior high (8898) fulfilling CD1 Penetration Objective (8922) as well as ATR (3) 8941.
P-VA High = 8866 P-VA Low = 8815 P-POC = 8833
Bull Scenario: IF Bulls hold bid above 8898, THEN initial upside estimate targets 8922 – 8941 zone.
Bear Scenario: IF Bears hold offer below 8898, THEN initial downside estimate targets 8866 – 8850 zone.
Range Projections and Key Levels (NQ) June 2020 (M) Contract
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
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