Trade Strategy 8.2.22

Markets

Economic Calendar

10:00 Job Openings and Labor Turnover Survey

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

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

S&P 500

Prior Session was Cycle Day 1 (CD1): Price did produce a decline for this cycle day, with low being established late in the session. Prior range was 50 handles on 1.714M contracts exchanged. 

 …Transition from Cycle Day 1 to Cycle Day 2

This leads us into Cycle Day 2 (CD2): Selling as spilled lower overnight violating the CD1 Low (4097) but has rebounded back above pre-RTH. Anecdotally, Pelosi’s en route and expected to land in Taiwan at 10:20 am et., so the markets may be jittery until she is safely on the ground.   As such, estimated scenarios to consider for today’s trading.

Bull Scenario: Price sustains a bid above 4097, initially targets 4106 – 4112 zone. 

Bear Scenario: Price sustains an offer below 4097, initially targets 4085 – 4080 zone. 

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

PVA High Edge = 4135      PVA Low Edge = 4112        Prior POC = 4122

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

HOD  ATR Range Projection: 4160; LOD ATR Range Projection: 4044; 3 Day Central Pivot: 4104; 3 Day Cycle Target: 4135; 10 Day Average True Range; 77; VIX: 24

Nasdaq 100 (NQ)

Today is Cycle Day 2 (CD2)…Normal for CD2 is for two-way balancing action to absorb prior session’s post-Fed rally. As such, there are two estimated scenarios to consider for today’s trading.

Bull Scenario: IF Bulls sustain a bid above 12850, THEN initial upside estimate targets 12898 – 12915 zone.

Bear Scenario: IF Bears sustain an offer below 12850, THEN initial downside estimate targets 12830– 12810 zone.

PVA High Edge = 13020       PVA Low Edge = 12898     Prior POC = 12951

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

HOD  ATR Range Projection: 13163; LOD ATR Range Projection: 12627; 3 Day Central Pivot: 12888; 3 Day Cycle Target: 13288; 10 Day Average True Range: 347; VIX: 24

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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