AUSTRALIAN DOLLAR

Today's MARKET STATE for AUSTRALIAN DOLLAR: **NEUTRAL DIGESTION**

- The MKT is in a digestive position with a negative technical bias. On the SELL side accept FADE, BREAKOUT and REVERSAL strategies off major inflection points. DP SELL BREAKOUT strategies should just "go" and not look back. DIR FADE strategies after a negative breakdown signal are good opportunities as well. If the trade just "hangs around" after a breakdown signal, it is likely that more digestive action is to come. Be more aggressive with UP FADE and REVERSAL strategies and resistance inflection points at or against the previous session high point.
- On the BUY side DIR and UP BREAKOUT strategies are aggressive and should hold structure if they are good. DP BUY FADE strategies are aggressive and if they are going to work should do so on the initial test of support. Repeated tests are more likely to give way to a lower trade. BUY REVERSAL strategies are recommended off the DP only, as the MKT is vulnerable to a negative trend shift. The probability is to the downside today so don't get stubborn buying breaks.

Today's PRICE MAP Performance for DA

 

Wrap Up
- Today we had an MC Value of -2 in a NEUTRAL DIGESTION Market State.  Although there is a NEGATIVE technical bias, the analyst felt that the DIR was the most important technical level, the "breaking point" if you will.  If the R Level remains unbroken, this is a positive sign that market structure is holding, and a move higher is expected.  The market moved higher throughout the morning session.  In a Neutral market state, our expectation for a follow through on a move is low.  As the price approached the UT1 just before 8 A.M., traders could have been looking for a corrective move as the expectation is for a sideways trading market.  As it happened, a sharp corrective sell off ensued and took prices all the way down to the DIR, where that level held structure.  The fact that the sell off was halted and respected the R Level signals the trader that now is the opportunity to get long with a BUY DIR FADE strategy.  This trade wasted no time in turning profitable, as the price rallied right back up to the UT1 at 10:30 when profits should have been realized.

SWISS FRANC

Today's MARKET STATE for SWISS FRANC: **BULL TREND CORRECTION**

- The MKT is holding firm but remains in a corrective posture. On the SELL side accept UP FADE signals only on the 2nd or 3rd confirmation. REVERSAL strategies should only be done off the UP or the previous session high point and will immediately work if they are going to. Keep position and risk management tight on these trades. SELL DP BREAKOUT strategies will work better as a signal for a DIR FADE with profit targets at the DP.
- On the BUY side accept REVERSAL signals off all major inflection levels, expecting the underlying positive momentum to resume. DP FADE strategies will work better with confirmation as the MKT is in a corrective state and will be probing lower looking for soft spots. Work any BUY DIR and UP BREAKOUT strategies as any positive shift in momentum has the potential to be the start of the next leg higher.

Today's PRICE MAP Performance for SF

Wrap Up
- Being cognisant of the Market State and applicable Market Strategy are two essential elements that define great traders.  Today in the SWISS FRANC futures market we had a perfect illustration of how JS Services definition of Market State can help traders maximize profits.  With an MC Value of +4, the market is still positive; however a corrective posture is in play.  With the R Level just above the UP, the analyst is telling traders that the corrective signal remains in effect below this level.  Our Market Strategy tells us to accept SELL UP FADE trades only on the 2nd or 3rd confirmation.  The market rallied a little after midnight, falling short of the UP.  It then made another attempt at the UP around 4:30 A.M, from which it failed yet again.  On the third attempt at the UP, the market failed to produce a higher move high and proved to be our 3rd confirmation signal that we were looking for.  Having been presented with our 3rd confirmation at the UP, a SELL UP FADE strategy should have been executed just after 9 A.M.  The market wasted no time in confirming that the trade was the correct one as we witnessed a dramatic sell off.  Our typical profit target is 2 major Price Map levels from our entry point which, for this trade, would have been the DP.  The market fell sharply to that level, allowing minimal time in the market and maximal profit realization.  By understanding JS Services Strategy Based Trading approach, a trader could have realized a full days work in a matter of minutes.

NASDAQ 100

Today's MARKET STATE for NASDAQ 100: **BULL TREND**

- The MKT has a firm tone and as long as the integrity of the previous session low remains intact, look for excuses to get long. On the SELL side UP FADE strategies are valid but profit targets and risk management should be tight.  REVERSAL strategies should be applied only at the UP and +c after an exhaustive signal. Use DP BREAKOUT strategies as a signal to FADE a positive reaction against the DIR. Only until the MKT breaks the positive structure are sell signals an opportunity.
- On the BUY side BREAKOUT, FADE and REVERSAL are recommended as the MKT is bid and all buy signals are valid opportunity. If stopped out at or near the low tic of a reaction and the MKT is not following through to the downside, look to re-enter using the recent squeeze low as a stop. If the MKT breaks structure, de-leverage and be more selective as the likelihood of a sideways trade is high.

Today's PRICE MAP Performance for ND

Wrap Up
- Today in the NASDAQ 100 futures market, traders using the JS Services Strategy Based Trading approach had the opportunity to net some serious gains.  With an MC Value of +7 and a BULL TREND Market State, our expectations is for a move higher, and we are looking to accept all BUY signals above the R Level.  Around 9:30 A.M., there was a big sell-off which took prices down to the DP.  Our market commentary tells us to look for any excuse to get long above the R, and this sell-off to the DP was just what we, as traders, were looking for!  A BUY DP FADE strategy executed off the DP around 10 A.M. behaved wonderfully, as the market respected that level and made a sharp move higher.  There was a bit of a pause at the DIR before prices continued their advance.  The rally lasted all the way up to the UP, our expected target for this trade, and gave us an opportunity to realize profits.  Our market commentary also tells us that SELL UP FADE strategies are also valid.  Although this is a more risky strategy in a BULL TREND market, and requires tight position management, it proved to work well in todays market.  After realizing profits from the long position, an agile trader could have covered their longs, got short from the UP and benefited from a profitable short trade back down to the DIR.

CANADIAN DOLLAR

Today's MARKET STATE for CANADIAN DOLLAR: **BULL TREND**

- The MKT has a firm tone and as long as the integrity of the previous session low remains intact, look for excuses to get long. On the SELL side UP FADE strategies are valid but profit targets and risk management should be tight.  REVERSAL strategies should be applied only at the UP and +c after an exhaustive signal. Use DP BREAKOUT strategies as a signal to FADE a positive reaction against the DIR. Only until the MKT breaks the positive structure are sell signals an opportunity.
- On the BUY side BREAKOUT, FADE and REVERSAL are recommended as the MKT is bid and all buy signals are valid opportunity. If stopped out at or near the low tic of a reaction and the MKT is not following through to the downside, look to re-enter using the recent squeeze low as a stop. If the MKT breaks structure, de-leverage and be more selective as the likelihood of a sideways trade is high.

Today's PRICE MAP Performance for CD

 

Wrap Up
- These are the days that traders using the JS Services Price Map dream of!  Today in the CANADIAN DOLLAR market, we had an MC Value of +5 and a BULL TREND Market State.  Traders coming into todays trading session are looking to get long from any major level above the R Level.  The early morning session showed some digestion above the DIR from 2 - 3 A.M., which allowed traders to get in the market at the DIR with a BUY DIR FADE strategy.  The market steadily moved higher, maintaining positive structure, and eventually crossed the UP just after 5 A.M.  This presented an opportunity for traders to add to their longs or, if they had missed the first opportunity, enter the market with a BUY UP BREAKOUT strategy.  The market traded up to the UT1, where it met resistance.  After a minor correction back to the minor level at 1.0117, the market rallied sharply all the way up to the UT2 presenting an excellent place to realize profits.  This huge move in the CANADIAN DOLLAR could have translated to huge profits for those traders utilizing JS Services Strategy Based Trading.

E-MINI RUSSELL 2000

Today's MARKET STATE for E-MINI RUSSELL 2000: **NEUTRAL DIGESTION TRANSITION**

- Technically the MKT has the potential for a positive turn. Opportunity exists on both sides, however there is a better chance of an acceleration to the upside if the integrity of the previous session low remains intact. On the SELL side avoid UP and DIR FADE strategies until after the previous session low point has been broken. Until then, a better opportunity will be a UP REVERSAL strategy. The idea is that the transition trade is over and a negative shift back into a NEUTRAL DIGESTION is expected. DP BREAKOUT strategies can be profitable but they are aggressive. Risk less, go for more.
- On the BUY side accept BREAKOUT, FADE and REVERSAL strategies with the expectation that the current positive transition will continue. Keep aggressive position management on UP BREAKOUT strategies as the MKT is still in the neutral zone and has yet to commit to a new trend. A more conservative strategy would be to wait for negative reactions after a positive signal to FADE the DIR.

Today's PRICE MAP Performance for TF

Wrap Up
- The E-MINI RUSSELL 2000 Market Strategy for today's session worked perfectly.  In a NEUTRAL DIGESTION TRANSITION Market State, the market has the potential for a positive move today.  Our market commentary tells us that on the BUY side, we should wait for a negative reaction after a positive signal to FADE the DIR.  In the early session around 2:30 A.M. price action breaks out of the Critical Range by penetrating the UP.  Price continues higher and then eventually there is a sharp sell off around 8:30 A.M.  This is the negative reaction after the positive breakout signal that we are looking for to FADE the DIR.  Since the analyst has put the R Level at the DIR, this reinforces the idea that the DIR should serve as major Support and traders should look to execute a BUY DIR FADE from this level.  Price action came all the way down to the DIR, respected the level perfectly, and then rebounded back to the Minor level at 807.90.  After digesting for a bit, the market began another advance that took price through the UP.  Due to the Neutral Market Structure, position management should be tight.  After the rally failed to make a new intraday high around 10:30 A.M., the trader should have realized this as a sign of weakness, and closed their long position to minimize profit giveback.

JS Services Strategy Based Trading

The following web video provides the foundation to our Strategy Based Trading approach.

http://progressive.powerstream.net/008/00102/edu/interactive/js_services/strategy_based_trading/index.html

If you would like to sign up for a FREE TRIAL of JS Services click here.

If you have any questions, feel free to email us at: info@jsservices.com.

Good Trading!

 

 

E-MINI RUSSELL 2000

Today's MARKET STATE for E-MINI RUSSELL 2000: **BULL TREND CORRECTION**
- The MKT has produced a big negative signal against an underlying positive trend. On the SELL side accept UP FADE signals on the 1st press into the area only. REVERSAL strategies should only be done off the UP or the previous session high point and will immediately work if they are going to. Keep position and risk management tight on these trades. SELL DIR and DP BREAKOUT strategies are aggressive but do have potential to be the start of a larger corrective turn. Keep risk management tight.
- On the BUY side accept REVERSAL signals off all major inflection levels, expecting the underlying positive momentum to resume. DP FADE strategies will work better with confirmation as the MKT is in a corrective state and will be probing lower looking for soft spots. Work any BUY DIR and UP BREAKOUT strategies as any positive shift in momentum has the potential to be the start of the next leg higher. DIR FADE strategies after the UP Breakout should use greater leverage.

Today's PRICE MAP Performance for TF

 

Wrap Up
- The E-MINI RUSSELL 2000 has produced a shift in sentiment and has presented traders with a negative signal in an underlying bull market.  The R Level is at the previous sessions high and our market commentary says that if the UP is to come into play, it should be used to SELL a REVERSAL off the previous session highs.  The market rallied up through the UP, but failed to confirm the move by stopping short of the minor level at 817.20.  The market then sold off below the R had a brief pop above the R which created a LOWER high.  From here we saw an exhaustive sell off from the R.  Price action was setup perfectly for a SELL R REVERSAL strategy off the previous session highs as the price traded above the highs, reversed back below the R, and then created negative structure before hosting an exhaustive sell off.  The market plummeted from 6:30 A.M. until around 8:00, where it had a brief bounce off the DIR before continuing lower.  The market eventually found support at the DP a little after 9:00 A.M., presenting a perfect opportunity for traders to cover their short position and realize a nice profit.

EURO-BOBL

Today's MARKET STATE for EURO-BOBL: **NEUTRAL DIGESTION**

- The MKT has a slight negative bias in a difficult "choppy" trade. On the SELL side DP BREAKOUT strategies are valid but should expect a laborious trade.  UP and UT1 FADE and REVERSAL strategies are recommended but profit should be taken at initial targets. The probability is to the downside today but is not a day to press it.
- On the BUY side avoid UP BREAKOUT strategies but rather FADE a negative reaction after a positive breakout signal at the DIR. DP REVERSAL strategies are recommended over FADE strategies as "sloppy" trading conditions are expected. Any DP FADE trades should get confirmation before executing. Position management adjustments should be anticipated for all longs as sideways trading conditions can quickly erase profits.

Today's PRICE MAP Performance for BOBL

 

Wrap Up
- Today in the EURO-BOBL futures market, traders had a wonderful opportunity for some serious profits as the market performed to our expectations.  In a NEUTRAL DIGESTION market state with an MC Value of -2, the market has produced a slight negative bias in an otherwise neutral market.  However, the analyst has put the R Level (Sentiment Bias) at the DP telling the trader that any reaction down to this level, should be bought as the analyst expects the Critical Range to hold structure, and the price to reverse course, and rally from the R Level.  Our market commentary warns of a "sloppy" trading environment, and advises that traders get confirmation before executing a BUY DP FADE strategy.  The market churned around the DIR during the early session, eventually sold off to the DP, and respected this level perfectly.  The market bounced off this level and made another attempt at the DP at 4:00 A.M. This attempt failed to break below 126.80, making a HIGHER LOW and giving us confirmation for our BUY DP FADE trade.  The market immediately rallied up to the DIR, digested for a bit, and then continued higher.  Around 7:45 A.M., the market spiked and took prices all the way through the UP and eventually made it up to the UT1, where profits should have been realized, if they hadn't been earlier.  Today's performance in the EURO-BOBL serves as another illustration of the trading power of JS Services Price Map.

EURO CURRENCY

Today's MARKET STATE for EURO CURRENCY: **NEUTRAL DIGESTION**

- Technically the MKT is in neutral but has produced a positive signal. On the SELL side DIR and DP BREAKOUT strategies are aggressive. If the MKT digests prior to making a negative move, it is more likely a squeeze on the longs to FADE.  UP SELL FADE strategies are aggressive as well and if they are going to work, should do so on the initial test of resistance. SELL REVERSAL strategies are recommended off the UP only. The probability is to the upside today so don't get stubborn selling strength.
- On the BUY side accept FADE, BREAKOUT and REVERSAL strategies off major inflection points. UP BUY BREAKOUT strategies should just "go" and not look back, so keep risk parameters tight. DIR FADE strategies after a positive breakout signal are good opportunities as well, but expectation should be for the MKT to quickly move back above violated resistance. If the trade just "hangs around", it is likely a signal that more digestive action is coming and a retest of support should be expected.

Today's PRICE MAP Performance for EU

Wrap Up
- The EURO CURRENCY had produced a positive signal for today's trading session and the probability is to the upside.  Our market commentary tells us that if a BUY UP BREAKOUT trade presents itself, our expectation is for it to just "go" and not look back.  After respecting the UP around 1:45 A.M. the market makes a second attempt at the UP, this time trading through it and giving us our BUY UP BREAKOUT strategy.  Our expectation is for this trade to just "go" and indeed it did.  The market rallied sharply up to the minor level, digested for a bit between the UT1 and minor level, and then eventually continued to move higher.  The "second wind" rally took the market all the way up to our price target, the UT2, and gave traders the opportunity to take profits on their long positions.

EURO STOXX 50

Today's MARKET STATE for EURO STOXX 50: **NEUTRAL DIGESTION**

- The MKT is in a sideways digestive position with a slight positive bias.
- On the SELL side avoid DP BREAKOUT strategies but rather FADE a positive reaction against the DIR after a negative breakdown signal. UP and UT1 REVERSAL strategies are recommended over FADE strategies as "sloppy" trading conditions are expected. Any UP FADE trades should get confirmation first.
- On the BUY side UP BREAKOUT strategies are valid but should expect a laborious trade. Work any position, selling into emotional surges and re-entering on any sharp pullbacks. Expect a choppy trade and be aggressive on minimizing profit give-back. DP and DT1 FADE and REVERSAL strategies are recommended.

Today's PRICE MAP Performance for DSX

Wrap Up
- The market has produced a positive signal in a NEUTRAL market state and the probability for the day is to the upside.  By placing the R Level at the minor level below the DP, the analyst is "expanding" the Critical Range by saying that any reaction can go as far down as the R Level, before it is expected to rally.  Our market commentary tells us that a BUY DP and DT1 FADE and REVERSAL strategies are recommended today, and around 9:30 A.M. we are presented an opportunity to execute a BUY R REVERSAL strategy.  Since the R Level is at a minor level between the DP and DT1, this strategy is in agreement with out expectation for the day, and also illustrates the importance of the R Level.  After selling off throughout the early session, EURO STOXX 50 found support at the R Level, and quickly began to rally.  Since the market is in a NEUTRAL DIGESTION state, we must respect the sideways tone of the market, and be aggressive with our position management.  Although the DIR would have been an ambitious target to attain, the market stabilized at the minor level between the DP and DIR presenting the trader with a good time to exit the position and realize a solid profit.

AUSTRALIAN DOLLAR

Today's MARKET STATE for AUSTRALIAN DOLLAR: **NEUTRAL DIGESTION**

- The MKT is in a sideways digestive position with a slight positive bias.
- On the SELL side avoid DP BREAKOUT strategies but rather FADE a positive reaction against the DIR after a negative breakdown signal. UP and UT1 REVERSAL strategies are recommended over FADE strategies as "sloppy" trading conditions are expected. Any UP FADE trades should get confirmation first.
- On the BUY side UP BREAKOUT strategies are valid but should expect a laborious trade. Work any position, selling into emotional surges and re-entering on any sharp pullbacks. Expect a choppy trade and be aggressive on minimizing profit give-back. DP and DT1 FADE and REVERSAL strategies are recommended.

Today's PRICE MAP Performance for DA

Wrap Up
- With an MC Value of +1 and the R Level at the DP, there is a slight positive bias to the trading session today in the DA.  However, the positive bias was quickly negated by the penetration of the R Level in the overnight session.  The initial SELL DP BREAKOUT signal should be avoided as the market could have been producing a false breakout.  With that being said, the market rallied back to the R Level, where it held resistance.  The markets inability to trade above the R Level serves as confirmation of the shift in sentiment, and the SELL DP BREAKOUT strategy could be executed after the market failed from the R Level around 1:30 A.M.  Failure from this important Price Map level sets the tone for the remainder of the trading session. The market sold off quickly to the DT1, churned around that level for a bit, then continued lower around 8:30 A.M.  Although this trade required patience on the part of the trader, the market eventually traded down to our price target, DT2, and proved to be a profitable trade.

DJI FUTURES INDEX

Today's MARKET STATE for DJI FUTURES INDEX: **BULL TREND**

- Technically the MKT is in a positive posture and as long as it continues to hold structure, further gains should be expected.  If the integrity of the previous session low remains intact, look for excuses to get long.
- On the SELL side UP FADE strategies are valid but profit targets and risk management should be tight.  REVERSAL strategies should be applied only at the UP and +c after an exhaustive signal. Use DP BREAKOUT strategies as a signal to FADE a positive reaction against the DIR. Only until the MKT breaks the positive structure are sell signals an opportunity.
- On the BUY side BREAKOUT, FADE and REVERSAL are recommended as the MKT is bid and all buy signals are valid opportunity. If stopped out at or near the low tic of a reaction and the MKT is not following through to the downside, look to re-enter using the recent squeeze low as a stop. If the MKT breaks structure, de-leverage and be more selective as the likelihood of a sideways trade is high.

Today's PRICE MAP Performance for DF

Wrap Up
- The DJI FUTURES INDEX was in a "Bull Trend" state and our expectation is for further gains throughout the day, provided positive structure remains in tact.  The market moved sideways for most of the early session and eventually tested support at the DIR around 9 A.M.  The third test right before 9:30 A.M. failed to make a lower low, providing traders with an opportunity to execute a BUY DIR FADE strategy.  From here, the market took off, tested the UP twice, and then eventually moved higher through that level, maintaining positive structure throughout the entire move.  The minor level above the UP held support and positive structure around 1 P.M. when the market had a brief pullback, and our trade target was eventually achieved at the UT 1 just after 1:30 P.M.

CANADIAN DOLLAR

Today's MARKET STATE for CD: **NEUTRAL DIGESTION**
- Technically the MKT is "on the fence" with the potential to go in either direction or nowhere. Pick your points and have no expectations, as the likelihood of this MKT trading sideways is high.
- On the SELL side BREAKOUT, FADE and REVERSAL strategies are valid, however profit and position risk management should be aggressive and anticipated. The pivotal nature of the session does have the potential to be the starting point for a new move. However, the probability of any trend action is more likely to just be the MKT defining its new consolidation extreme.
- On the BUY side BREAKOUT, FADE and REVERSAL strategies are valid, however profit and position risk management should be aggressive and anticipated. The MKT is "on the fence" and does have the potential to be the beginning of a new trend move. The probability of a new trend move is low. However, any price trend action is more likely to just be the MKT defining its new consolidation extremes.

Today's PRICE MAP Performance for CD

Wrap Up
- Today in the CANADIAN DOLLAR we are reminded of the important role that the Critical Range plays in the JS Price Map.  In a NEUTRAL DIGESTIVE state, our expectation is for the price action to oscillate within the critical range, and the likelihood of a new trend emerging is low.  With the R at the minor level below the DP, the analyst is telling the trader that price action is expected to stay within the Critical Range; however, there is a chance that a sell off could reach as far down as the minor level (R Level).  In a sense, the analyst is expanding the Critical Range down to the R Level.  The market fell in the early morning session, touched the DP at 3 A.M. and provided us an opportunity for a BUY DP FADE above the R Level.  Remember, our expectation in a NEUTRAL DIGESTIVE state is for a sideways trading environment within the Critical Range.  Sure enough, the market rallied steadily throughout the day, building positive structure and respecting the trading range.  Shortly after 11 A.M. the rally stalled out at the UP, exactly where we expected it to, and gave us an opportunity to realize profits.

10YR TREASURY NOTES

Today's MARKET STATE for TY: **BEAR TREND**

- Technically the MKT is vulnerable to the offer. On the SELL side accept all BREAKOUT, FADE and REVERSAL signals. The MKT is on edge and any negative signal, especially below the previous session high, is an opportunity. Anticipate a price "zone" around a major resistance point to FADE. Have a plan and be ready. If your stop gets hit and the MKT does not immediately follow through, consider re-entering, even doubling up if there is structure to define low risk.

- On the BUY side REVERSAL strategies can be executed off of major support levels but preferably after an emotional sell off. This is an aggressive strategy and any profits should be realized at the previous support failure points. Avoid DP FADE BUYS even with confirmation, as this is more likely a plateau for a BREAKOUT SELL strategy. UP BREAKOUT strategies are not recommended but do have a better chance of succeeding than a DP FADE.

Today's PRICE MAP Performance for TY

 

Wrap Up
- Today was a great day for traders using the JS Price Map in the 10YR TREASURY NOTES market.  With an MC Value of -5 and a BEAR TREND Market State, the trader is looking to accept ALL SELL strategies (BREAKOUT, FADE AND REVERSAL) below the R Level.  Since the market started the day just below the DIR, the test of the DIR around 5 A.M. gave us an opportunity to execute a SELL DIR FADE.  A second opportunity was presented when the market made another attempt at the DIR just after 6 A.M., failed to achieve this level, and then sold off dramatically.  The market continued to sell off until it found support at the minor level 133'075.  From here we saw a sharp reaction back to the DP, and a failure from this level, which could have been a good place to add leverage to the short position as negative structure remained in tact, and price failed to hold above the DP just before 8 A.M.  The price then had another dramatic sell off and achieved our downside target of the DT1 where profits should have been taken.

SWISS FRANC

Today's MARKET STATE for SF: **NEUTRAL NEGATIVE EXTREME**

- The MKT is on the offer and pressing into the lower extreme. On the SELL side accept UP REVERSAL strategies over FADES, expecting more of a trendless trading environment rather than a new negative trend move. Avoid DP BREAKOUT strategies but rather FADE into a positive reaction after a negative breakdown signal against the DIR. The MKT is extended and will have trouble sustaining any new weakness. Use aggressive position management and anticipate potential early exit points to reduce profit give-back.

- On the BUY side DP FADE and REVERSAL strategies are qualified, however the FADE is a lower probability and should use tight risk criteria. DP and DT1 REVERSALS can risk more but should also go for more profit with the expectation of the MKT putting in a short term turning point signal. UP BREAKOUT strategies are aggressive and should just "go" and not look back. Risk less; use aggressive position management and conservative profit limits.

Today's PRICE MAP Performance for SF

Wrap Up
- The SWISS FRANC has produced a NEUTRAL NEGATIVE EXTREME Market State with an MC Value of -3, telling the trader that the market is pressing into the lower extremes.  The R Level at the UP represents the "Breaking Point" for the negative bias for the day.  The market churned around the DIR in the early morning session, then began to rally just after 3 AM.  The market continued to maintain POSITIVE STRUCTURE (higher lows and higher highs) through the morning session and presented a BUY UP BREAKOUT trade around 6 AM.  The R Level at the UP adds confirmation to this trade because it has not only been creating positive structure throughout the morning, but the BREAKOUT from the UP also negates the negative bias that was represented by the "breaking point" at the R.  From here, our Market State expectation is for the trade to "just go" and the trader should exercise "conservative profit limits".  Given the state of the market, the UT1 is a solid expectation for profit taking, and this target was achieved at 9 AM.

CANADIAN DOLLAR

Today's MARKET STATE for CD: **NEUTRAL POSITIVE SHIFT**

- The MKT is in neutral, working a slight positive bias against a negative underlying trend. Opportunity exists on both sides of the MKT. However, the threat of the return of the negative momentum must be respected.

- On the SELL side accept BREAKOUT, FADE and REVERSAL strategies off major inflection points with the expectation that the negative momentum is going to resume. DP SELL BREAKOUT strategies can risk a little more of current events and other MKTs of confluence confirm a negative posture.

- On the BUY side DP FADE strategies are valid, however the underlying momentum remains negative and any long opportunity is short term. DP BUY REVERSAL strategies should be avoided, as any break in momentum is a sign that the BEAR TREND is ready to resume. UP BUY BREAKOUT strategies are aggressive and the better opportunity is a DIR FADE after a positive breakout signal.

Today's PRICE MAP Performance for CD

Wrap Up
- A MC Value of +2 and an R at the DT1 set the stage for the positive Sentiment Bias for today's action in the CANADIAN DOLLAR.  The Market State warns of a possible decline; however, by placing the R Level at the DT1 the analyst is telling the trader that above that level, the expectation is for a move higher.  There was an emotional sell off just after 7 AM that brought prices down below the R for a brief moment.  Prices then rallied sharply back to the minor level, where they digested for about an hour.  The opportunity existed for what would have been a BUY R REVERSAL strategy.  Although price action only penetrated through the R for a brief moment before rallying, the penetration and rally back through this level presented the trader an opportunity to go long, which eventually proved to be a very profitable trade.  The market rallied above the minor level, found support at this level around 8:30 AM, and then began another sharp rally.  This rally took prices all the way up to the DIR at 10 AM where profits should have been realize on a well executed trade.

NATURAL GAS

Today's MARKET STATE for NG: **NEUTRAL NEGATIVE SHIFT**

- Technically the MKT has produced a negative signal against a positive trend. On the SELL side avoid UP and DIR FADE strategies until after the previous session low point or major support level has been broken to confirm a negative shift in momentum. Until then, a better opportunity will be a UP REVERSAL strategy. DP SELL BREAKOUT strategies can be profitable but they are aggressive and should look to take profits and potentially REVERSE long at support targets. The trade is corrective and the underlying positive tone must be respected.
- On the BUY side accept BREAKOUT, FADE and REVERSAL strategies off major inflection points with the expectation that the positive momentum is going to resume. DP REVERSAL strategies are recommended over FADE strategies, which should have at least 1, if not 2 challenges to the support integrity before executing a long off it. UP BREAKOUT strategies can risk a little more if current events confirm a positive posture. If not, a better approach would be to FADE the DIR after a UP breakout.

Today's PRICE MAP Performance for NG

Wrap Up
- Today in NATURAL GAS we are reminded of the power of the JS Services Price Map.  The NEUTRAL NEGATIVE SHIFT Market State tells us that the market has produced a negative signal in an underlying positive market state.  With the R Level at the DIR, the analyst is telling the trader that above this level, our expectation is for the positive trend to resume.  Around 9:30 AM the market took off, crossing the UP and presenting the trader with a BUY UP BREAKOUT strategy.  Our ideal profit target is two major Price Map levels away from our entry point, in this case, the UT2.  The price rallied violently up to this level, and respected it with astonishing accuracy.  By utilizing the power of the JS Services strategy-based trading approach, a trader would have been able to participate in this sharp rally, and realize a substantial profit from it.

EURO-BOBL

Today's MARKET STATE for BOBL: **NEUTRAL DIGESTION**

- Technically the MKT is "on the fence" with the potential to go in either direction or nowhere. Pick your points and have no expectations, as the likelihood of this MKT trading sideways is high.

- On the SELL side BREAKOUT, FADE and REVERSAL strategies are valid, however profit and position risk management should be aggressive and anticipated. The pivotal nature of the session does have the potential to be the starting point for a new move. However, the probability of any trend action is more likely to just be the MKT defining its new consolidation extreme.

- On the BUY side BREAKOUT, FADE and REVERSAL strategies are valid, however profit and position risk management should be aggressive and anticipated. The MKT is "on the fence" and does have the potential to be the beginning of a new trend move. The probability of a new trend move is low. However, any price trend action is more likely to just be the MKT defining its new consolidation extremes.

Today's PRICE MAP Performance for BOBL

Wrap Up
- Coming into today's trading session for the BOBL, our expectation is for a sideways trading day.  With the R Level at the DIR, the analyst is telling the trader that this is the "breaking point" for the market to make a move higher.  Since we are in a NEUTRAL DIGESTION Market State, the probability for any new trend action is low, and a breakout above the UP is more than likely just establishing a new consolidation extreme.  Sure enough, this is exactly what happened in the BOBL.  Around 4:30 AM we are given a BUY UP BREAKOUT opportunity above the R Level.  Since the Market State calls for tight position management, profits should be realized sooner, rather than later.  An opportunity for profit taking was given shortly before 5 AM, which would have realized a quick profit for an agile trader.  From here the market sold off, met resistance just below the UP and then rallied back up to the minor level.  It then retraced back to the UP, put in a HIGHER low, signalling positive structure was still in tact, and offered another opportunity to enter from the long side when it took off from the UP around 6:30.  Since our expectation is that a new consolidation extreme is being formed, rather than a new trend beginning, a valid profit target would be at the UT1.  Again, the market rallied to the UT1, giving the trader an opportunity to take profits shortly after 9 AM.  The break in positive structure (lower low) just after 10 AM served as a warning to the trader, and the price action moved sideways inside the newly formed digestive zone for the remainder of the session.

5-YR TREASURY NOTES

Today's MARKET STATE for 5-YR TREASURY NOTES: **NEUTRAL DIGESTION**

- The MKT has a slight negative bias in a difficult "choppy" trade. On the SELL side DP BREAKOUT strategies are valid but should expect a laborious trade.  UP and UT1 FADE and REVERSAL strategies are recommended but profit should be taken at initial targets. The probability is to the downside today but is not a day to press it.

- On the BUY side avoid UP BREAKOUT strategies but rather FADE a negative reaction after a positive breakout signal at the DIR. DP REVERSAL strategies are recommended over FADE strategies as "sloppy" trading conditions are expected. Any DP FADE trades should get confirmation before executing. Position management adjustments should be anticipated for all longs as sideways trading conditions can quickly erase profits.

Today's PRICE MAP Performance for FV

Wrap Up
- Today in the 5-YR TREASURY NOTES, we had a NEUTRAL DIGESTION Market State with the R Level just above the UP.  With a NEGATIVE bias and the R Level above the UP, the analyst is reiterating the fact that the highest probability trade today is on the SHORT side of the market.  A little before 8 AM, we are given the SELL DP BREAKOUT strategy that should have been executed.  Although the Market State warns that this could be a laborious trade, the price moved down to the DT1 with relative ease, and gave the trader an opportunity to realize profits toward the end of the trading session.

CRUDE OIL

Today's MARKET STATE for CRUDE OIL: **BEAR TREND CORRECTION**

- Technically the MKT has produced a counter trend signal and may be set for a short term shift in sentiment. On the SELL side REVERSAL strategies are recommended over FADES as the corrective trading environment is expected to produce some false positives on resistance violations as it probes higher.  DIR and DP BREAKOUT strategies should just "go" with expectations that the negative momentum is going to resume course. Anticipate profit management adjustments as sentiment can turn quickly.

- On the BUY side DIR and UP BREAKOUT should just "go" and hold structure. Risk less and go for more with the expectations of an emotional shift in sentiment supporting the technical positive signal. A break in the momentum of the positive signal and this strategy should be avoided as follow through in either direction is unlikely. Avoid DP REVERSAL strategies, as any break in structure is a sign that the Bear Trend is going to reestablish itself. FADE strategies off the DP should be entered sooner "higher" than later " lower" with expectations that the corrective rally is going to continue to run and keep pace.

Today's PRICE MAP Performance for CL

Wrap Up
- Today we have a BEAR TREND CORRECTION Market State, and an MC Value of +1.  With the R Level at the DP, the probability is for a counter trend rally above the R Level.  The market digested between the DIR and the minor level within the Critical Range until about 8:30 A.M. when we were given a BUY DIR FADE opportunity above the R Level.  This strategy is in line with our expectations for the day, as a counter trend signal has been produced and the placement of the R Level at the DP confirms the positive posture.  The market continued to gain throughout the morning, and achieved the UP a little before 10 A.M.  Since this is still a BEAR state, the trader must respect the underlying trend and implement tight position management as to minimize profit giveback.  The market digested around the UP for a few hours, and eventually met resistance at the minor level between the UP and UT1.

S&P 500 INDEX

Today's MARKET STATE for S&P 500 INDEX: **NEUTRAL NEGATIVE SHIFT**

- Technically the MKT is vulnerable to further "corrective" negative action, however today the indicators are balanced, putting the outlook "on the fence" with the potential of being a turning point session. On the SELL side accept BREAKOUT and FADE strategies off major inflection points with the expectation that any trade has the potential to be the start of the next negative move. If the market is indeed going to transition lower it will hold negative structure. Any break in momentum has the potential to be a positive turning point and an end to the "corrective" trade. DP BREAKOUT strategies can risk little more if current events and other MKTs of confluence confirm a negative posture.

- On the BUY side accept BREAKOUT, FADE and REVERSAL strategies off major inflection points with the expectation that any trade has the potential to be the start of a positive shift. Use aggressive position management to reduce profit giveback as the neutral posture can produce some false signals. If the market is going to go, it will hold structure and not look back. If not, a choppy trend-less trading environment should be expected.

Today's PRICE MAP Performance for SP

 

Wrap Up
-The S&P 500 Index had a big move today that performed to our expectations for the NEUTRAL NEGATIVE SHIFT Market State.  In this state, if the market is going to advance, it is expected to hold structure and "not look back".  The price traded above the R Level, telling the trader that above this level, the probability is to the upside. We then saw a squeeze back down to the R Level around 7:00 A.M.  This generated a VERY important "TELL" as to what the rest of the day had in store for us.  The market HELD STRUCTURE at the R Level, confirming the positive move and validating a BUY R BREAKOUT strategy.  From here, the market made higher highs and higher lows throughout the trading session, maintaining POSITIVE STRUCTURE.  The market eventually leveled off, and if profits weren't realized around 11:00 A.M. when the market tested the UT2, the position must have been closed just after 2:30 P.M. when the market BROKE STRUCTURE by making a lower low.

MINI NASDAQ 100

Today's MARKET STATE for MINI NASDAQ 100: **NEUTRAL DIGESTION TRANSITION**

- Technically the MKT has the potential for a positive turn. Opportunity exists on both sides, however there is a better chance of an acceleration to the upside if the integrity of the previous session low remains intact. On the SELL side avoid UP and DIR FADE strategies until after the previous session low point has been broken. Until then, a better opportunity will be a UP REVERSAL strategy. The idea is that the transition trade is over and a negative shift back into a NEUTRAL DIGESTION is expected. DP BREAKOUT strategies can be profitable but they are aggressive. Risk less, go for more.

- On the BUY side accept BREAKOUT, FADE and REVERSAL strategies with the expectation that the current positive transition will continue. Keep aggressive position management on UP BREAKOUT strategies as the MKT is still in the neutral zone and has yet to commit to a new trend. A more conservative strategy would be to wait for negative reactions after a positive signal to FADE the DIR.

Today's PRICE MAP Performance for ND

Wrap Up
- Today in the MINI NASDAQ 100 Futures market, we had a perfect example of the importance of the R Level within the JS Services Price Map.  The NEUTRAL DIGESTIVE TRANSITION Market State tells us that the market has the potential to turn positive, but with the R Level at the UP, the analyst is telling the trader that this is the "breaking point" for the day.  If the market remains below the R Level, the expectation is still negative, and the highest probability trade is at the R Level.  At 7:30 A.M. the market respected the R Level, and offer the trader a perfect opportunity to execute a SELL R FADE strategy with a profit target of two major Price Map levels away, which in this case is the DP.  The market sold off sharply, hit the DP, and gave the trader an opportunity to realize a handsome profit within minutes of entering the trade.  From here the market rallied back through the DP, through the DIR, and eventually tested the R Level at the UP for a second time.  This intraday "Double Top" formation presented the trader, for a second time, to short the market at the R Level.  In almost a mirror image of the first sell off, price declined sharply down to the DP where profits should have been realized.  The uncanny accuracy of the R Level today in the MINI NASDAQ 100 serves as a textbook example of how the Sentiment Bias (R Level) works within the JS Services Price Map.

EURO CURRENCY

Today's MARKET STATE for EURO CURRENCY: **NEUTRAL DIGESTION TRANSITION**

- MKT sentiment is leaning negative and will outweigh the buy side if the integrity of the previous session high remains intact.

- On the SELL side accept BREAKOUT, FADE and REVERSAL strategies with the expectation that the current negative transition will continue. Keep aggressive position management on DP BREAKOUT strategies as the MKT is still in the neutral zone and has yet to commit to a new trend. A more conservative strategy would be to wait for positive reactions after a negative signal to FADE the DIR.

- On the BUY side avoid DP FADE strategies until after the previous session high point has been taken out. Until then, a better opportunity will be a DP REVERSAL strategy. The idea is that the transition trade is over and a positive shift back into a NEUTRAL DIGESTION is expected. UP BREAKOUT strategies can be profitable but they are aggressive. Risk less, go for more.

Today's PRICE MAP Performance for EU

Wrap Up
- The NEUTRAL DIGESTION TRANSITION Market State is a unique state in which the market has been digesting for some time, and today could mark the beginning of a new move.  With the R Level at the UP, the probability is to the downside, and the highest probability trade is a SELL UP FADE with the expectation that price will begin a new move lower.  Price action tested the UP around 2:30 A.M. giving the trader the SELL UP FADE opportunity that we were looking for.  Profits could have been taken at the DIR; however, given the Market State, there is a higher probability for a follow through on the move, and the DP should be our target.  This trade would have required patience; however, after testing the DIR twice previously in the session, the breakout of the DIR confirmed the direction of the market and offered the trader an opportunity to add leverage to his or her position.  The market quickly sold off the the DP presenting an opportune time to take profits.