Trade Strategy 7.5.22

Markets

 

Economic Calendar

10:00 Factory Orders
12:30 PM Investor Movement Index

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

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

S&P 500

Prior Session was Cycle Day 2 (CD2): Normal consolidation as expected for this cycle day as shortened holiday kept traders sidelined. Range was 36 handles on 143k contracts exchanged. 

 …Transition from Cycle Day 2 to Cycle Day 3

This leads us into Cycle Day 3 (CD3): Early strength on Globex reopening fulfilled cycle target (3852) before reversing direction lower. Pre-RTH price is trading near lows of the overnight session, back into the 3-day Central Pivot Zone (3803 – 3798). We’ll view this zone as initial support with expectation of a buy response. Should this zone fail to elicit buyers, lower target measures 3782 5-day POC. As such, estimated scenarios to consider for today’s trading.

Bull Scenario: Price sustains bid above 3800, initially targets 3820 – 3825 zone. 

Bear Scenario: Price sustains offer below 3800, initially targets 3782 – 3776 zone.

PVA High Edge = 3818       PVA Low Edge = 3803        Prior POC = 3813

Range Projections and Key Levels (ES) Sept 2022 (U) Contract

HOD  ATR Range Projection: 3891; LOD ATR Range Projection: 3766; 3 Day Central Pivot: 3798; 3 Day Cycle Target: 3852; 10 Day Average True Range  91; VIX: 28

 

 

 

Nasdaq 100 (NQ)

Today is Cycle Day 3 (CD3)…Overnight buying fulfilled CD3 Penetration Target (11741), reversing direction and is currently trading near lows pre-RTH. As such, estimated scenarios to consider for today’s trading.

Bull Scenario: IF Bulls sustains bid above 11540, THEN initial upside estimate targets 11562 – 11575 zone.

Bear Scenario: IF Bears sustains offer below 11540, THEN initial downside estimate targets 11505 – 11495 zone.

PVA High Edge = 11575       PVA Low Edge = 11533     Prior POC = 11563

Range Projections and Key Levels (NQ) Sept 2022 (U) Contract

HOD  ATR Range Projection: 11850; LOD ATR Range Projection: 11405; 3 Day Central Pivot: 11540; 3 Day Cycle Target: 11805; 10 Day Average True Range: 343; VIX: 28

 

 

 

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 SHOWN6.22.22


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