AUSTRALIAN DOLLAR

Today's MARKET STATE for AUSTRALIAN 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 DA

 







 

Wrap Up

- In a BULL TREND market state, the market should continue to build positive structure if it is going to indeed follow through on the bull trend signal.  After breaking positive structure with a new move low, the bull trend signal is negated and traders should lean on their OPTIMAL HEDGE TACTIC.  The sentiment remains positive above the R Level and any corrective sell off is a valid BUY opportunity ABOVE THE R.  The RSI indicator warned of the positive reaction to come when it put in a BULLISH DIVERGENCE at our KEY INFLECTION PIVOT.  This allowed traders to get long the market from the R Level and capitalize on the positive reaction.

S&P 500

Today's MARKET STATE for S&P 500 **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 YM

 

Wrap Up

- With an MC Value +4 the S&P is in a BULL TREND and the expectation is for the market to continue to build positive structure, making higher move highs and higher move loves.  After the market sold off rapidly in the overnight session, the positive structure had been broken, signalling traders to lean on the OPTIMAL HEDGE TACTIC.  By monitoring the RSI indicator, traders were able to spot the BULLISH DIVERGENCE occurring as the price made new lows that failed to be confirmed by the indicator.  This signal coincided with our KEY INFLECTION PIVOT at the R Level which allowed traders to get long the market from the R Level and ride the trade up to the DIR.

DOW FUTURES

Today's MARKET STATE for DOW FUTURES **BULL TREND CORRECTION**

- The MKT has produced a 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 YM

 

Wrap Up

- After producing a negative technical signal, the DOW FUTURES had an MC Value of +1 and a BULL TREND CORRECTION market state.  The R Level at the DIR identifies this as the key inflection pivot for the session.  If the market opens up below the R Level and respects that level, the corrective trade remains in play.  However, the market opened up slightly above the R Level, signaling the opportunity was to the up side above this level.  More than likely a digestive trading day is expected unless the market gives a BREAKOUT signal from the UP, in which case a continuation of the underlying BULL TREND should be anticipated.  As it played out, the market did take on a digestive posture, giving traders the opportunity to get long from the DIR and take profits at the UP.

EURO CURRENCY

Today's MARKET STATE for EURO CURRENCY **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 EU

 

 

 

 

 

 

Wrap Up

- Today in the EURO CURRENCY, our optimal HEDGE TACTIC gave traders the needed confidence to get short the market from the DP with a SELL DP BREAKOUT strategy targeting the DT2.  The market was in a NEUTRAL DIGESTION, lending itself to a sideways trading environment within the Critical Range.  However, a break in the structural support at the DP signalled traders to lean on the moving average crossover tactic.  This SELL DP BREAKOUT signal was in line with our Sentiment Bias (R), as well as our MA crossover tactic.  Having been short the market from the DP, traders were given the opportunity to realize profits on the trade when the market came within tics of our profit objective at the DT2.

EURO STOXX 50

Today's MARKET STATE for EURO STOXX 50 **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 DSX
 



 

 

Wrap Up

- With an MC Value of -3 there is a negative tone to the market in the EURO STOXX 50 today.  The TRANSITION signal is in play below the R Level so any break in structure below the R Level is expected to produce a new negative move.  If the market remains above this level, a digestive trade within the Critical Range is expected.  As the market approached the expected level of RESISTANCE around 9:30 am CT, there was a BEARISH DIVERGENCE signal in our momentum oscillator, warning us of the underlying weakness of the move.  This allowed traders to short the market from our key level of resistance and take profits on the sell off at the DIR.

DOW FUTURES

Today's MARKET STATE for DOW FUTURES **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 YM



 

 

 

 

 

 

Wrap Up

- With the R Level at the minor level below the DP, there is a "support band" from the DP to the R Level from which traders should look to get long the market.  The market is expected to respected the DP; however, a corrective sell off down to the R Level is still an opportunity for traders to get long the DOW FUTURES.  The market STATE for the YM was NEUTRAL DIGESTION so traders should look to momentum indicators for a "tell" on the market.  At 9:30 am CT, the market tested the R Level while putting in a BULLISH DIVERGENCE signal in the RSI.  This was our confirmation to get long the market from our optimal entry point.  The market respected our key inflection point at the R and rallied up to the DIR, giving traders an opportunity to realize profits.

WHEAT

Today's MARKET STATE for WHEAT **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 W

Wrap Up
- Today was a pivotal day in the MAY '13 WHEAT futures market.  With the R Level at the DIR in a NEUTRAL DIGESTION market state, the market is "on the fence" and has the potential to transition into a new move, or go nowhere and digest within the Critical Range.  When the market began to sell off sharply from the UP, our RSI indicator warned that the market was EXTREMELY OVERSOLD at our key INFLECTION PIVOT (R).  This allowed traders to get long the market from the DIR targeting the UP.  The market held support at the DIR R and eventually traded up to the top of our critical range at the UP.

SWISS FRANC

Today's MARKET STATE for SWISS FRANC **BEAR TREND ACCELERATION**

- The MKT is on edge and threatening further losses. On the SELL side accept FADE, REVERSAL and BREAKOUT strategies below the previous session’s high point. DIR and DP BREAKOUT strategies should just "go", so do not risk much. UP FADE strategies are recommended over REVERSAL as the MKT is expected to hold lower structure and any breach should be considered a potential positive corrective shift.
- On the BUY side REVERSAL strategies can be executed off of major support levels. Expectations should be for an immediate "V" bottom turn with the MKT quickly moving away from the area or a gradual rise with higher lows after an exhaustive signal. Avoid DP FADE strategies even with confirmation, as this is more likely a plateau for a BREAKOUT SELL strategy. UP BREAKOUT strategies are a lower probability but do have a better chance of succeeding than a DP FADE.

Today's PRICE MAP Performance for SF

Wrap Up
- Today in the SWISS FRANC futures market we had a BEAR TREND ACCELERATION market state with the R Level at the UT1.  The market is expected to maintain negative structure while accelerating to the downside and a break in structure should signal the look to our HEDGE TACTICS for a "tell" on the market.  The negative sentiment remains in tact below the R Level, and any corrective rally up to that level presents an opportunity for traders to get short the market.  The market respected the UP in the overnight session, before eventually penetrating our expected level of resistance later in the session.  Since the negative structure had been negated, traders look to the RSI signals to get an "edge" on the market.  As the market made a new high in price approaching the R Level, the RSI gave us a BEARISH DIVERGENCE signal.  This warned of the coming sell off and allowed our traders to get short from the optimal entry point, at the R Level.  The market immediately sold off and attained a price target of 2 APMD at the DIR.

EURO CURRENCY

Today's MARKET STATE for EURO CURRENCY **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 EU

Wrap Up
- As a result of the strong move over the weekend, the EURO CURRENCY opened up below our CRITICAL RANGE.  Any corrective rally up to the R Level was an opportunity to short the EURO today.  As the market approached the R Level around 11:15 am CT, there was an EXTREME OVERBOUGHT signal in the RSI indicator, warning that the market was overextended to the upside.  This tactic gave traders the opportunity to short the market from the DP and ride the market down to our next major structural inflection point at the DT1.

BRITISH POUND

Today's MARKET STATE for BRITISH POUND **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 BP

Wrap Up
- Today in the BRITISH POUND there was a "false breakout" of the CRITICAL RANGE that allowed JS traders to capitalize on the opportunity.  The market was in a NEUTRAL DIGESTION market state with the expectations of trading sideways within the CRITICAL RANGE (UP-DP).  In order to confirm a breakout from the Critical Range, the market should breach the minor level above the UP (1.5165).  Since the market FAILED TO CLOSE above this level, the SELL UP REVERSAL strategy was still an opportunity.  Looking now to our NON TREND TACTICS, JS traders know to key off of the momentum oscillators.  Major BEARISH DIVERGENCE is clearly visible in the RSI and has been forming since around 2:30 am.  This was our "tell" to accept the SELL UP REVERSAL strategy with a profit target at the DIR.

EURO CURRENCY

Today's MARKET STATE for EURO CURRENCY **NEUTRAL NEGATIVE EXTREME**

- Technically the MKT is at an extreme and is ready to either pop back into a firm neutral posture or break into a new down trend. On the SELL side immediate follow through to the MKT's technical sell signal should be expected. DP BREAKOUT strategies should be worked with the expectation that any sustained trade and repeated tests of support will give way to negative follow through. This strategy is vulnerable to the MKT, expanding its lower support band in a series of starts and stops. UP and DIR FADE strategies should expect an immediate reaction as any held trade or violation of major resistance foreshadows a potential turning point. These are good opportunities to "roll" into a long position when stopped out.
- 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 REVERSALS can risk more but should also go for more profit with the expectation of a turning point "key reversal" signal to play out. UP BREAKOUT strategies are aggressive and should just "go" and not look back. Risk less and go for more. A laborious lackluster rise after a positive breakout is a sign that the MKT is more likely expanding its resistance lid for a new consolidation versus transition from negative to positive technical posture.

Today's PRICE MAP Performance for EU

Wrap Up
- Today in the EURO CURRENCY market there was a NEUTRAL NEGATIVE EXTREME market state.  The market is in a pivotal posture and will either transition into a BEAR TREND or pop back into a NEUTRAL posture.  The market sold off to the DP in the early morning session which would prove to be the KEY INFLECTION point for today's session.  If the market breaks down from the DP and continues lower, the market could be transitioning into a BEAR TREND.  However, if the market respects this level, the expectation is for a pop back into the Critical Range.  As it played out, our RSI indicator gave us a BULLISH DIVERGENCE at the DP giving us a "tell" that the market was going to respect this level and pop back into a NEUTRAL posture.  This gave us confidence to accept the BUY DP REVERSAL trade and ride profits all the way up to the UP.

NASDAQ 100

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

- The MKT has just produced a big positive technical signal. On the SELL side DP BREAKOUT strategies are a low probability but valid. Risk little and go for a lot. If the MKT is going to turn sour, it should be quick and relentless. Avoid UP FADE strategies as the MKT has just produced a major buy signal and fresh gains are expected. UP REVERSAL strategies as well are not recommended, as any resistance level violation that cannot be held is more likely a squeeze for the longs, which can quickly turn positive.
- On the BUY side BREAKOUT, FADE and REVERSAL are recommended as the MKT is aggressively 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, leverage up using the squeeze low as a stop, expecting a quick reaction back above your original entry. De-leverage unless you have confluence with other indicators or like MKTs.

Today's PRICE MAP Performance for ND

Wrap Up
- The optimal market TACTIC in a BULL TREND market state is the moving average crossover system.  The "tell" as to whether or not this tactic will be effective is if the market performs to expectations, making higher move highs and higher move lows.  Since the overnight / early morning session played host to a slow decline (creating a lower low and lower high) this was our signal to run our optimal hedge tactics.  The 14-period RSI highlights the 70 - 30 level in red and green respectively.  The blue line below the 30 level is drawn to show the extreme low that occurred in the oscillator last night.  Notice the location of the RSI when the market sold off to our R LEVEL.  The RSI put in a HIGHER low creating a BULLISH DIVERGENCE.  The occurrence of this signal at our key inflection point (R LEVEL) gave us confidence that the R Level would maintain structure and offer traders an opportunity to get long the market.  After price traded back above the DP, traders were given the BUY DP REVERSAL opportunity as highlighted in our market commentary.  From that point, the market built positive structure, eventually allowing traders to take profits at the DIR.

SWISS FRANC

Today's MARKET STATE for CRUDE OIL **NEUTRAL POSITIVE 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 SF

Wrap Up
- Identifying MARKET STRUCTURE is an essential part of profitable trading.  By defining the KEY INFLECTION points in the market, traders can anticipate opportunity and execute trades at the optimal entry point.  Today in the SWISS FRANC, that point was at the UP R.  With the UP serving as our expected level of RESISTANCE, the placement of the R LEVEL at the UP reiterated the importance of the level, and allowed traders to get short the market from our expected level of resistance.  After testing the UP on three different occasions, the market finally broke, selling off to the DIR where profits could have been realized.  Yet another example of the importance of identifying market STATE, STRUCTURE and STRATEGY. 

CRUDE OIL

Today's MARKET STATE for CRUDE OIL **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 CL

Wrap Up
- By first identifying the MARKET STATE in the CRUDE OIL market, traders were then able to determine the optimal TACTIC for the NEUTRAL market state.  In a NON-TREND market state, traders should key off the CRITICAL RANGE (UP-DP) as it represents the expected trading area for the session.  As the market sold off to the DP, there was a BULLISH DIVERGENCE signal at our expected level of SUPPORT (DP).  This tactic allowed traders to accept the BUY DP FADE strategy and ride profits all the way up to the UP as the market maintained positive structure throughout the trade.

SWISS FRANC

Today's MARKET STATE for SWISS FRANC **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 SF

Wrap Up
- "Money days" happen when the market performs to expectations.  By utilizing JS Services Market STATE, STRUCTURE and STRATEGY, along with the appropriate market TACTIC, our traders were able to net some serious profits in the SWISS FRANC futures market.  With an MC Value of -4, this market was in a BEAR TREND market state and expected to follow through to the downside.  The R Level above the Critical Range signals that the opportunity is to the downside on any corrective rally up to that point.  Our optimal MARKET TACTIC in a TREND state is a moving average crossover signal identifying the sell signal in the market.  This signal occured just before 7 am CT when the faster moving average crossed from above to below the slower MA, generating a SELL signal.  When the market began to sell off sharply, it generated a STRONG BAR, closing near the lows and taking out our expected level of SUPPORT at the DP.  This was our "tell" to accept the SELL DP BREAKOUT strategy with the expectation for a move to the DT2.  The market continued to sell off sharply and took us down to our profit target at the DT2 with minimal time in the market.  A great trade made possible by identifying the STATE of the market and the OPTIMAL TACTIC to utilize.

AUSTRALIAN DOLLAR

Today's MARKET STATE for AUSTRALIAN DOLLAR **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 DA

Wrap Up
- In a NEUTRAL DIGESTION market state, traders should key off the structural elements of the CRITICAL RANGE for trading opportunities.  Our expectation is for a sideways, chippy trading environment.  With the R Level at the DP, the probability is to the upside and traders should look to accept BUY strategies.  The market tested the DIR in the overnight session before eventually surpassing it around 2:15 am CT.  After the DIR was breached, the market found support at this level around  7:30 am CT and allowed traders to get long the market from the DIR with a profit target at the UP.  This target was achieved when the market put in an intra-day double top formation at the UP around 9 am CT.

CRUDE OIL

Today's MARKET STATE for CRUDE OIL **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 CL

Wrap Up
- In a BEAR TREND market state with the R LEVEL at the DIR, our expectation is that if there is going to be any follow through on the BEAR TREND signal, the market should maintain negative structure below the R Level.  In a TRENDING market state, the MOVING AVERAGE CROSSOVER system is the optimal technical tactic to help identify trading opportunities.  A little after 7 am CT, the faster MA crossed from above to below our slower MA generating a "sell" signal.  This gave traders the confidence needed to accept the SELL DP BREAKOUT strategy at 8:30 am CT.  The market continued to build negative structure throughout the session, making lower highs and lower lows.  Our expectation is for a move tot he DT2; however, the MACD gave us a valuable signal that helped minimize profit give back.  As the market put in an intra-day double bottom at our 89.65 level, the MACD produced a DIVERGENCE signal.  The second "bottom" in price corresponded with a reading in the MACD that was substantially higher than the previous low, warning of the coming positive momentum.  This signal allowed traders to take profits on the trade before the corrective rally had the chance to erase profits.

S&P 500

Today's MARKET STATE for S&P 500: **BULL TREND ACCELERATION**

- Technically the MKT is in play after producing a big positive signal. On the SELL side REVERSAL strategies can be executed off the UP and +c. Expectations should be for an immediate exhaustive turn with the MKT quickly moving away from the area.  Avoid SELL UP FADE strategies even with confirmation. SELL DP BREAKOUT strategies are not recommended but can be used as a signal for a FADE against the DIR.
- On the BUY side accept FADE, REVERSAL and BREAKOUT strategies above the previous session's low point. UP BREAKOUT strategies should just "go", so do not risk much. Be wary of these strategies early in the session and look to exit on the 1st break in structure.  BUY DP FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold higher structure and any failure should be considered a potential negative corrective shift high.

Today's PRICE MAP Performance for SP

Wrap Up
- In a BULL TREND ACCELERATION market state, our expectation is for a follow through on the underlying BULL TREND.  In a TRENDING market state, our optimal tactics include the moving average crossover tactic, as well as the building of positive market structure (higher highs and higher lows).  It is also important to note that the ADX indicator can provide us with a valuable signal when the value of the ADX crosses above the 25 level.  This indicates the market has entered a "trending" state.  Notice on our S&P 500 chart today that the ADX crosses from below to above the 25 level right as the faster moving average crosses from below to above the slower moving average.  This confluence of technical tactics gave us the confidence needed to accept the BUY UP BREAKOUT strategy and profit from the move in the S&P 500 today.

NATURAL GAS

Today's MARKET STATE for NATURAL GAS: **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 NG

Wrap Up
- Today in the NATURAL GAS futures market the MC Value of +2 produced a NEUTRAL DIGESTION Market State.  Given this information, traders should look for a sideways, digestive session, keying off of the Critical Range.  The R Level below the Critical Range means that any corrective sell off is an opportunity to get long the market ABOVE the R LEVEL.  In a NEUTRAL, NON-TREND market state, our optimal market tactic is to use our MOMENTUM OSCILLATORS.  Notice the BULLISH DIVERGENCE that occurs in the RSI just before 7 am CT.  This technical tactic is our "tell" to accept a BUY DP REVERSAL signal.  By identifying the MARKET STATE, traders were able to capitalize on the tactical signal occuring at our key level of SUPPORT (DP).  The market built positive structure throughout the day, allowing traders to hold onto their long position and net some serious gains.

DAX INDEX

Today's MARKET STATE for DAX INDEX: **BULL TREND CORRECTION**

- The MKT has produced a 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 DAX

Wrap Up
- In a BULL TREND CORRECTION market state with the R Level at the minor level below the DP, the analyst is saying that any sort of corrective pullback to the R Level is an opportunity to get LONG the market with the expectation for the underlying BULL TREND to continue.  After respecting the R Level on multiple tests from 6-7:30 am CT, the market eventually penetrated the R Level just after 9:30 am CT.  The market failed to follow through the DT1 and quickly reversed back above our R Level.  By keeping an eye on our MOMENTUM indicator (RSI), traders were able to notice the BULLISH DIVERGENCE that occurred in the indicator, and get long the market from the R Level.  After rallying back into our Critical Range, traders were given an opportunity to net profits at the DIR around 10 am CT.