U.S. stock index futures are under pressure for yet another day as risk-off sentiment takes hold of the markets. Hong Kong riots are spiraling, the PBOC set the yuan weaker than the previous session and there are fears of another debt crisis in Argentina. The grim backdrop saw futures tied to the Dow Jones Industrial Average tick down 0.5% following the index’s almost 400-point drop on Monday, while S&P 500 futures declined 0.5% and the Nasdaq fell 0.7%, respectively.
In Asia, Japan -1.1%. Hong Kong -2.1%. China -0.6%. India -1.7%.
In Europe, at midday, London -0.5%. Paris -0.5%. Frankfurt -0.9%.
Futures at 6:20, Dow -0.5%. S&P -0.5%. Nasdaq -0.7%. Crude -0.2% to $54.83. Gold +1.8% to $1543.80. Bitcoin -1.2% to $11226.
Ten-year Treasury Yield -1 bps to 1.64%
Source: Seeking Alpha https://seekingalpha.com
Economic Calendar https://www.investing.com/economic-calendar/
Today is Cycle Day 2 (CD2)…Price is challenging Cycle Day 1 Low (2872.50) pre-RTH. Failure to hold bid opens trap door for further downside as “risk-off” theme builds momentum. Bulls MUST convert 2890 to upper support to squelch the current slide.
CD2 Range High = 2890.00 CD2 Range Low = 2855.00 CD2 Range Avg = 34.75
Scenario 1: IF Bulls hold bid above 2880, THEN initial upside potential targets 2890 – 2895 zone.
Scenario 2: IF Bears hold offer below 2880, THEN initial downside objective targets 2860 – 2855 zone.
Range Projections and Key Levels (ES) September 2019 (U) Contract
Nasdaq 100 (NQ)
Today is Cycle Day 2 (CD2)…Price is challenging Cycle Day 1 Low (7534.75) pre-RTH. Failure to hold bid opens trap door for further downside as “risk-off” theme builds momentum. Bulls MUST convert 7605 to upper support to squelch the current slide.
CD2 Range High = 7633.00 CD2 Range Low = 7515.00 CD2 Range Avg = 120.00
Scenario 1: IF Bulls hold bid above 7550, THEN initial upside potential targets 7585 – 7600 zone.
Scenario 2: IF Bears hold offer below 7550, THEN initial downside objective targets 7535 – 7515 zone.
Range Projections and Key Levels (NQ) September 2019 (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.”
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