Markets
U.S. stock index futures are pointing to a muted open ahead of this morning’s release of the Fed’s preferred inflation gauge – the PCE deflator – with any slowing in core prices likely to boost market bulls following Friday’s strong Q1 GDP reading of 3.2%. Data overnight also showed profits from China’s industrial firms growing in March before the next round of U.S.-China trade talks kicks off tomorrow. A rate decision from the Fed on Wednesday could also cement its dovish tilt, and coupled by a series of solid earnings and outlooks from U.S. tech giants could send equity indices to their next run of record highs.
In Asia, Japan closed. Hong Kong +1%. China -0.8%. India +0.9%.
In Europe, at midday, London -0.1%. Paris -0.3%. Frankfurt -0.3%.
Futures at 6:20, Dow flat. S&P flat. Nasdaq flat. Crude -0.7% to $62.87. Gold -0.4% to $1284.10. Bitcoin -1.1% to $5137.
Ten-year Treasury Yield flat at 2.5%
Source: Seeking Alpha
8:30Personal Income and Outlays
10:30Dallas Fed Manufacturing Survey
***New: PTG Trading Room Chat Log’s Link
S&P 500
Today is Cycle Day 1 (CD1)…Normal is for a decline measuring 2917.00. Average Range for CD1 is 23.75 handles. Odds of decline > 10 handles = 72% Odds of decline > 20 = 43%
CD1 Range High = 2961.50 CD1 Range Low = 2923.00 CD1 Range Avg = 23.75
Scenario 1: IF Bulls hold bid above 2939, THEN initial upside targets 2944 – 2947 zone. Conversion of this zone further measures 2950 – 2952 CD1 Penetration Zone.
Scenario 2: IF Bears hold offer below 2939, THEN initial downside targets 2934 – 2930 zone.
Range Projections and Key Levels (ES) June 2019 (M) Contract
HOD ATR Range Projection: 2957.00; LOD ATR Range Projection: 2928.00; 3 Day Central Pivot: 2930.00 3 Day Cycle Target: 2965.00; 10 Day Average True Range 19.25; VIX: 13.00
Nasdaq 100 (NQ)
Today is Cycle Day 1 (CD1)…Normal is for a decline measuring 7770.00. Average Range for CD1 is 75.50 handles. Odds of decline > 20 handles = 74% Odds of decline > 25 = 65%
CD1 Range High =7882.00 CD1 Range Low = 7805.00 CD1 Range Avg = 75.50
Scenario 1: IF Bulls hold bid above 7837.00, THEN initial upside targets 7866 – 7874 CD1 Penetration Zone.
Scenario 2: IF Bears hold offer below 7837.00, THEN initial downside targets 7824 – 7820 zone.
Range Projections and Key Levels (NQ) June 2019 (M) Contract
HOD ATR Range Projection: 7895.00; LOD ATR Range Projection: 7792.00; 3 Day Central Pivot: 7722.00; 3 Day Cycle Target: 7895.00; 10 Day Average True Range: 68.00; VIX: 13.00
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.”
PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS
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