Futures wavered between slight gains and losses overnight as investors track an uptick in new COVID-19 cases against the reopening of the economy.
Source: Seeking Alpha https://seekingalpha.com/
S&P 500 (ES)
Prior Session was Cycle Day 1 (CD1): Normal CD1 as price declined exceeding fulfilling Average Decline (3070) albeit during Asian Session.
…Transition from Cycle Day 1 to Cycle Day 2
This leads us into Cycle Day 2 (CD2): Price has violated Cycle Day 1 Low (3094.50) during overnight trading fulfilling 3070 CD1 Avg Decline and has recovered back above this level pre-RTH. Today we have two scenarios to consider:
Bull Scenario: IF Bulls hold bid above 3094.50, THEN initial upside estimate targets 3110 – 3115 zone
Bear Scenario: IF Bears hold offer below 3094.50, THEN initial downside estimate targets 3075 – 3063 zone zone.
P -VA High = 3123 P – VA Low = 3012 P – POC = 3116
Range Projections and Key Levels (ES) September 2020 (U) Contract
Nasdaq 100 (NQ)
Today is Cycle Day 2 (CD2)…Price violated Cycle Day 1 Low (9915.25) during Asian Session and has since recovered back above, rallying up to prior VAH (10020). Today we have two scenarios to consider:
P – VA High = 10020 P – VA Low = 9965 P – POC = 9997
Bull Scenario: IF Bulls hold bid above 9980, THEN initial upside estimate targets 10020 – 10050 zone.
Bear Scenario: IF Bears hold offer below 9980, THEN initial downside estimate targets 9950 – 9920 zone.
Range Projections and Key Levels (NQ) September 2020 (U) 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
*****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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