Markets (Top Stories)
All eyes will be on the Labor Department’s nonfarm payrolls report this morning as the Labor Department publishes the figure at 8:30 AM ET. Economists expect the U.S. economy to have added 225K jobs in June, down from the surprise 339K increase in May, which represented the second-strongest month for job creation so far this year. Note that the monthly figure has beaten every estimate over the past year (except for one), while the current projection would trail the six-month average of 314K, highlighting just how hot the labor market has been.
Source: SeekingAlpha.com
Economic Calendar
https://www.investing.com/economic-calendar/
S&P 500
Prior Session was Cycle Day 1 (CD1): Normal CD1 as price declined establishing a new low at 4419.50. Prior range was 64 handles on 1.655M contracts exchanged.
…Transition from Cycle Day 1 to Cycle Day 2
This leads us into Cycle Day 2 (CD2): Afternoon rally yesterday is holding bid during quiet overnight activity, as traders await today’s NFP report. Normal for CD2 is consolidation of recent wide range activity to establish new balance. As such, scenarios to consider for today’s trading.
Bull Scenario: Price sustains a bid above 4440, initially targets 4460 – 4465 zone.
Bear Scenario: Price sustains an offer below 4440, initially targets 4425 – 4420 zone.
PVA High Edge = 4450 PVA Low Edge = 4427 Prior POC = 4445
Range Projections and Key Levels (ES) Sept 2023 (U) Contract
HOD ATR Range Projection: 4474; LOD ATR Range Projection: 4408; 3 Day Central Pivot: 4473; 3 Day Cycle Target: 4472; 10 Day Average True Range 40; VIX: 15
Nasdaq 100 (NQ)
Prior Session was Cycle Day 1 (CD1): Normal CD1 as price declined establishing a new low at 15111.50. Prior range was 254 handles on 563k contracts exchanged.
…Transition from Cycle Day 1 to Cycle Day 2
This leads us into Cycle Day 2 (CD2): Afternoon rally yesterday is holding bid during quiet overnight activity, as traders await today’s NFP report. Normal for CD2 is consolidation of recent wide range activity to establish new balance. As such, scenarios to consider for today’s trading.
Bull Scenario: Price sustains a bid above 15210, initially targets 15285 – 15295 zone.
Bear Scenario: Price sustains an offer below 15210, initially targets 15130 – 15110 zone.
PVA High Edge = 15248 PVA Low Edge = 15143 Prior POC = 15235
Range Projections and Key Levels (NQ) Sept 2023 (U) Contract
HOD ATR Range Projection: 15403; LOD ATR Range Projection: 15016; 3 Day Central Pivot: 15308; 3 Day Cycle Target: 15359; 10 Day Average True Range: 227; VIX: 15
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.”
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