NASDAQ 100

Today's MARKET STATE 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 market, we had a BULL TREND market environment with the R Level at the lower extreme of the Critical Range (DP).  The key "tell" for follow through potential in a BULL TREND environment is in its ability to maintain POSITIVE market STRUCTURE.  The overnight low, just above the DIR, marked the breaking point for the + structure.  After a head fake above the UP, the MKT pulled back and threatened a break in structure at 8:30 am CT.  However, the market firmed up, maintaining structure and keeping the BULL TREND signal in play.  The MA crossover / band tactic is the optimal MARKET TACTIC to use in a trending market state and it allowed us to accept the BUY UP BREAKOUT strategy around 8:45 am CT.  The market stabilized for a bit, finding SUPPORT at the UP after the breakout signal, and then rallied sharply.  Notice how price found SUPPORT at the MA band on two different occasions.  The market eventually made it up to our profit target at the UT2 around 12:30 pm CT while maintaining positive market structure throughout the entire trade.

SOYBEANS

Today's MARKET STATE SOYBEANS **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 S

Wrap Up

In a NEUTRAL DIGESTION market state with the R Level at the DIR (center of the Pricemap), the market is "on the fence" and has the potential to create a new directional move or go nowhere and churn sideways within the Critical Range.  In this particular scenario (NEU w/ R=DIR), the moving average crossover / "band" tactic should be used along with the markets ability to maintain directional structure as the "tell".  As you can see, the market began building lower lows and lower highs during the overnight session, while the faster 21-period SMA crossed from above to below the slower 55-period SMA generating a "sell" signal.  This gave trades confidence to accept the SELL DP BREAKOUT strategy that occurred at 6:00 am CT.  The Moving Average "band" served as resistance to the 9 am rally and kept traders in the position.  The market continued to maintain negative structure until eventually reaching the minor level ** at 1366.00 around 10 am CT.  From here the market bounced off the minor support pivot to end the session by the DT1.

SWISS FRANC

Today's MARKET STATE SWISS FRANC **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 SF

Wrap Up

Today was another great example of the importance of identifying Market STATE and using Market TACTICS to confirm STRATEGIES.  JS Services defined the technical market state as  BULL TREND ACCELERATION today in the SWISS FRANC futures market.  The expectation for this market state is for the market to produce a directional trend move to the upside, with a BREAKOUT from the UP targeting the UT2.  In a TREND STATE, traders should look to use the Moving Average crossover system to confirm the BUY signal.  Another good indication of the markets ability to trend can be seen in the ADX indicator.  As highlighted in the chart, the ADX broke above the 25 reading, signaling a "trending" market.  This signal occurred around the same time the MA crossover signal took place, adding confidence to the BUY UP BREAKOUT strategy.  When the market produced this signal, it occurred on a STRONG BAR, which was another confirmation of the long position.  The market broke out of the Critical Range with a decisive STRONG BAR, allowing traders to accept the signal and ride the rally all the way up to our profit objective at the UT2.

EURO STOXX 50

Today's MARKET STATE 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

Successful trading is a function of identifying market state, structure and strategy.  JS Services MC Value of +3 identified the EURO STOXX 50 to be in a NEUTRAL DIGESTION market state.  In a NON-TREND market state, expectations are for a sideways, trendless trading environment, conducive to technical momentum indicators.  JS Service Pricemap identifies the key STRUCTURAL pivots for the session and our market commentary provides insight as to which strategies should be used.  The R Level at the DIR represents the OPTIMAL ENTRY point for the session.  Armed with this knowledge, traders were able to capitalize on the BUY DIR FADE opportunity that presented itself just after 5 am CT this morning.  Notice too, that the RSI was at a reading BELOW 30, indicating that the market was overextended to the downside.  This oversold reading confirmed the buying opportunity and got traders in the market from the optimal entry point.  For traders who missed the initial buying opportunity from the DIR, the DSX market generated another buy signal, this time with a UP BREAKOUT strategy.  A confirmed breakout of the critical range signals a change from a non-trending environment to a transitioning environment.  Our 21-period SMA had crossed above the 55-period SMA (3-min chart) and generated the "buy" signal.  As you can see, after the breakout occurred around 9:15 am CT, the moving average "band" provided a support area for future price action.  The markets ability to build + structure after our entry signal at the DIR R allowed traders to ride the long side of the market all the way up to the UT1.  By identifying the technical playing field and highlighting the key inflection points for the session, traders were able to ANTICIPATE the opportunity at the DIR R and net some nice profits.

DAX INDEX

Today's MARKET STATE DAX INDEX **NEUTRAL POSITIVE SHIFT**

- Technically the MKT has produced a positive signal against a negative trend. 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. UP REVERSAL strategies are recommended over a FADE, which should have at least 1 if not 2 challenges to its integrity before executing a short sale against it. A better approach to a straight DP BREAKOUT strategy is to FADE a positive "squeeze" reaction after a negative breakdown signal against the DIR.
- On the BUY side avoid DIR and DP FADE strategies until after the previous session high point or major resistance has been taken out to confirm a break in momentum. Until then, a better opportunity will be a DP REVERSAL strategy. UP BUY BREAKOUT strategies can be profitable but they are aggressive and should look to take profits and potentially REVERSE short at resistance targets.

Today's PRICE MAP Performance for DAX

Wrap Up

Today the DAX INDEX market gave traders an opportunity to execute the optimal trade of the session at the DP R.  In a NEUTRAL POSITIVE SHIFT market state, there has been a positive signal in an underlying negative market.  The R Level at the DP represents the sentiment bias, indicating that the opportunity is on the long side above this level.  The market threatened a negative transitional move at 3:45 am CT when the market traded below the DP.  However, this breakout signal remains unconfirmed above the 7775.0 minor level.  The market was unable to take out this minor level and produced a BUY DP REVERSAL opportunity with confirmation in the RSI.  This proved to be the trade of the session as the market found support at the DP R and eventually made it up to the DIR where profits could have been realized.

SWISS FRANC

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

- The MKT is vulnerable to the offer and threatening fresh 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 strategies as the MKT is expected to hold lower structure and any momentum shift should be considered a potential positive corrective turn.
- On the BUY side avoid REVERSAL strategies off major support levels as these signals are more likely short squeeze rallies and opportunities to SELL into and FADE. BREAKOUT strategies above the previous session high are a long shot, so risk less and go for more. Any DP FADE should have confirmation and is not recommended if the integrity of the previous session high is intact. After a break in the negative structure is confirmed, support levels can be used for short-term reactions using aggressive position management.

Today's PRICE MAP Performance for SF

Wrap Up

Identifying the KEY INFLECTION PIVOTS in a market is essential to successful trading.  Knowing which strategies to execute off structural levels is of equal importance and our MARKET TACTICS can help to confirm those strategies when the present themselves in the form of trading opportunities.  Today in the SWISS FRANC, there was a BEAR TREND ACCELERATION market state with the R at the UP.  The R Level marks the "over-under" level for the session, and any corrective rally is expected to exhaust below this level of resistance.  An upside breakout is considered "confirmed" if it is able to take out the minor level above the UP, in today's Pricemap it was the 1.0618 level.  Just after 7:00 am CT the market took a run at this level and FAILED to surpass it.  This failure to confirm the breakout called into question the strength of the underlying positive move and alerted traders to a possible "head fake" scenario.  Using our RSI tactic, it is clear that each successive high in price from 4 - 7 am CT was accompanied by a LOWER high in the RSI (BEARISH DIVERGENCE).  This was a "tell" to the underlying weakness, and after the REVERSAL presented itself, allowed our traders to short the market from the UP and ride the trade down to the DIR.

AUSTRALIAN DOLLAR

Today's MARKET STATE AUSTRALIAN DOLLAR **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 DA

Wrap Up

The AUSTRALIAN DOLLAR futures did NOT perform to expectations in a BEAR TREND market environment today; however, by utilizing our OPTIMAL HEDGE TACTIC, JS Traders were able to capitalize on the "sloppy" trading session.  The market played host to a substantial sell-off during the overnight session, sending prices below our expected level of Support at the DP.  If the MKT was going to follow through on the DP BREAKOUT signal, it should take out the minor level at 1.0195 and continue to build negative structure.  The market found support at the 1.0195 minor level and proceeded to digest around the DP for the remainder of the overnight / early morning session.  The rally that began around 3 am CT produced a new high and signaled a BREAK in the negative structure.  This signal alerted JS Traders that the probability for a sideways, choppy session was high.  As a result, momentum oscillator tactics should be utilized to confirm trading opportunities.  At 5 am CT, the market made a final push to the upside, falling short of the UP, and allowing JS Traders to execute a SELL UP FADE strategy with confirmation in the form of RSI BEARISH DIVERGENCE.  This strategy proved profitable as the market failed to re-test the highs and maintained negative structure throughout the entire move down to the DP at 11:30 am CT.  Identifying MARKET STATE, STRUCTURE and STRATEGY helped traders identify the opportunity today in the Aussie Dollar.