Theme of the Day:
🎯 “Liquidation Day – Managed Burn Earlier than the Reclaim.”
Cycle Day 3 introduced its typical shakeout vitality, delivering a textbook liquidation section that hit key projections earlier than stabilizing into the shut.
Market Habits Abstract
The S&P (ES) unraveled early, extending draw back stress from the 6796.5 and 6776.5 triggers Manny outlined pre-market. Worth fulfilled the Cycle Day 3 vary projection all the way down to 6768.50, which additionally aligned with PTGDavid’s correction degree mid-session — confirming the structural low for the day.
From open by means of late morning, all bounces have been swiftly offered as sellers maintained full management. The 6785–6790 zone acted as a magnet — first as a breakdown level, later as resistance by means of a number of failed reclaim makes an attempt.
Regardless of the sharp morning decline, structural helps beneath 6768.50 remained intact, leaving the broader bullish framework unviolated. By the afternoon, MOC flows flipped the tone with a $5.3B purchase imbalance, a reminder that the “Massive Boyz” have been quietly reloading stock at a reduction.
Key Tactical Highlights
Pre-Market Plan (Manny):
Help Buys: 6796.5 and 6776.5 (Each failed early)
Continuation Lengthy: 6810+ invalidated as liquidation took maintain
LB&F: 6794 try rejected — confirming sell-side dominance
PTGDavid:
Declared “Liquidation Day” by 10:30 AM.
Cycle Day 3 projections (6775 → 6768.50) hit with precision.
Later reaffirmed that regardless of the decline, “key structural helps have NOT been violated.”
Afternoon MOC imbalance ($5.3B purchase) confirmed BTFD conduct returning into the shut.
Notable Observations:
89EMA served as a provide line all day — every tag met with contemporary promoting.
Timing home windows held: 10–10:55 (Excessive), 11–12:15 (Low), 2–2:55 (Secondary Excessive).
The “Liquidation then Accumulation” rhythm stayed remarkably clear.
Cycle & Sequence Context
In the present day marked Sequence S1H — the first day of the brand new 4-day collection, usually that includes minimal pivots however main structural definition. As Manny reminded, the closing hour’s H/L units the tone for the following three days, making at this time’s 6768.50 low particularly vital heading into Friday.
PTG Quote of the Day
“Cycle Ranges are VooDoo — till they hit to the tick.”
— PTGDavid
Outlook for Friday (Cycle Day 1)
With liquidation aims happy and a powerful MOC bid confirming institutional demand, look ahead to Cycle Reset conduct — early consolidation or gentle again check of 6768.50 assist, then a possible BTFD rally leg if bulls can reclaim 6785–90.
