The Nasdaq 100 futures opened the month of October (on Tuesday) around the 20,250-level based on the day session open. In the first hour, on October 1, there was a 400 point sell off. Since the low of Tuesday's trade, the market has been in narrow range, mean reversion, chop mode, trying to gain its footing so that it can recapture the initial selling.
The market has developed a consistent pattern of "waiting" for the next major economic release, but once the report is released, it is typically dismissed. Tomorrow morning at 7:30 am CST, the Employment numbers will be released. I'm sure that whatever the numbers are, they will be forgotten by the afternoon session, with the next major economic release being the next major discussion or focus. In general, we are simply in mean reversion mode as we approach the election. The mean reversion and counter trend strategies have been the the top trading systems.
The One Million MNS traded the Stock Index Portfolio 18 today. The live results were -$2,250 with the live results in the 250K Portfolio -$450. The hypothetical Results for the Stock Index Portfolio 18 today was -$2000 per E-mini and -$199 per Micro.
The Stock Index Portfolio 18 is in a -$11,597.50 drawdown and remains in a drawdown entry alert.
The One Million MNS 128 was down -$12,283.75 today and is in about a -$15K drawdown. We will rotate to the One Million MNS 128 at a 25K-30K drawdown. A day like Jobs Friday (tomorrow) could go either way and could offer a good drawdown entry alert intra-day or on an end of day basis.
The market continues to "die out" in the afternoon the last few days. There was a small rally in the stock indexes at the end of the day, but the overall ranges have contracted lately.
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