Trade Strategy 6.24.21

Markets

Some rotation?

While the S&P 500 snapped a two-day winning streak on Wednesday, momentum continued overnight, with futures tied to the benchmark index – as well as the Dow and Nasdaq – climbing 0.5%. It comes ahead of the latest round of jobless claims that will likely show a drop in new unemployment filings (+380K) following last week’s unexpected rise (+412K).

Source: SeekingAlpha.com

Economic Calendar

8:30 Durable Goods
8:30 GDP Q1
8:30 International trade in goods
8:30 Initial Jobless Claims
8:30 Corporate profits
8:30 Retail Inventories (Advance)
8:30 Wholesale Inventories (Advance)
10:30 EIA Natural Gas Inventory

https://www.investing.com/economic-calendar/

***New: PTG Trading Room Chat Log’s Link

S&P 500

Prior Session was Cycle Day 3 (CD3):  Price took a pause during this session to consolidate recent cycle gains. Range was 18 handles on 907k contracts exchanged.

 …Transition from Cycle Day 3 to Cycle Day 1

This leads us into Cycle Day 1 (CD1): Price has firm bid during overnight activity, currently above PH (4248.25) and probing new all-time high levels. Average Decline for CD1 measures 4220. As such, estimated scenarios to consider for today’s trading.

1.) Price sustains a bid above 4248, initially targets 4258 – 4260 zone. 

2.) Price sustains an offer below 4248, initially targets 4236 – 4230 zone.

*****3 Day Cycle has a 91% probability of fulfilling Positive Cycle Statistic covering 12 years of recorded tracking history.

PVA High Edge = 4242       PVA Low Edge = 4236         Prior POC = 4239

Range Projections and Key Levels (ES) Sept 2021 (U) Contract

HOD  ATR Range Projection: 4267; LOD ATR Range Projection: 4218; 3 Day Central Pivot: 4218; 3 Day Cycle Target: 4266; 10 Day Average True Range  35; VIX: 15.40

Nasdaq 100 (NQ)

Today is Cycle Day 1 (CD1)…Price is currently trading above PH (14315.75) and into new all-time high territory. Prior range was 84 handles on 360k contracts exchanged. As such, there are two estimated scenarios to consider for today’s trading.

PVA High Edge = 14290       PVA Low Edge = 14260      Prior POC = 14280

Bull Scenario: IF Bulls sustain a bid above 14316, THEN initial upside estimate targets 14365 – 14370 zone.

Bear Scenario: IF Bears sustain an offer below 14316, THEN initial downside estimate targets 14270 – 14250 zone.

Range Projections and Key Levels (NQ) Sept 2021 (U) Contract

HOD  ATR Range Projection: 14433; LOD ATR Range Projection: 14196; 3 Day Central Pivot: 14186; 3 Day Cycle Target: 14552; 10 Day Average True Range: 163; VIX: 15.50

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


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