Friday August 29, 2025

Q: What is the main advice for trading on Friday, August 29th, and why?

The primary advice for Friday, August 29th is to trade cautiously or, ideally, not at all. This is due to the combination of 'Friday rules' and the added factor of a holiday on Monday. Traders are encouraged to scale down their trading, use smaller daily loss limits, or adopt a 'one loss and done' mentality to preserve weekly profits. Micros Trader even suggests taking the entire weekend plus Tuesday off, since the day after a holiday typically has poor price action.

Q: What economic data releases are scheduled for Friday, August 29th?

Two key economic reports are scheduled: the PCE (Personal Consumption Expenditures) report one hour before the market opens, and revised consumer sentiment 30 minutes after the open.

Q: What was the outcome of yesterday's 'trade idea number two' and why?

Trade idea number two did not develop as planned and was a 'no trade' scenario. It required price to return over the open and retest the halfback with a strong reaction, but the conditions did not align. Active management was required, making it unsuitable for passive execution.

Q: What key levels are traders watching for a potential bounce or reaction?

The 92 to 93 area is being monitored as a strong bounce level, with multiple prior defenses. The RTH low is also considered important, and traders are cautious of what happens if price drops underneath these areas.

Q: What is the current market sentiment regarding the ES and ENQ instruments?

Both ES and ENQ are trading in the lower distribution, which is not outright bearish but not strongly bullish either. ES made a new RTH high, while ENQ remains distant from its all-time high. Traders are watching if both instruments grab liquidity together, which could trigger either a selloff or a push higher.

Q: What characteristics are traders looking for to confirm real strength in a market move?

Real strength is confirmed by fair value gapping candles breaking from a key area. This indicates genuine momentum supported by strong buying or selling pressure.

Q: Why is Micros Trader hesitant about the recent downward price movement during the Asia session?

Micros Trader described the downward move during Asia as 'disgusting lading down,' suggesting it lacked conviction and might have been manipulative. The session was mostly consolidation, followed by London initiating a sharp fair value gapping move to the south.

Q: Where can traders find more detailed trade ideas and battle plans?

Traders can visit microtrader.com and click on the 'battle plan' section to access detailed trade setups, including Battle Plan Trade Idea #3, which is currently highlighted as a promising setup.

Traders entered the final session of August with caution as Micros Trader warned that Friday’s action ahead of the long holiday weekend should be treated as “Friday rules on steroids.” He advised most participants to step aside entirely, or at minimum, scale down risk sharply to avoid giving back weekly gains. Key levels in the S&P 500 futures included the 92–93 support zone and the 64.92 overnight low, while Nasdaq futures lagged further from their all-time high. Looking ahead, next week’s shortened schedule features major economic releases, including JOLTS and non-farm payrolls, which could set the tone for early September trading.

☀️ AM BRIEFING

Opening Remarks

Micros Trader emphasized that today is a day for extreme caution. With the long holiday weekend ahead (Saturday, Sunday, and Monday), today should be treated as “Friday rules on steroids.” The strong recommendation is to consider taking the day off completely.

“Careful trading today if you trade at all. I encourage you to take today off.”

He explained that if you take off today plus the three-day weekend, and include Tuesday—which historically has poor price action after holidays—you can give yourself a five-day break before fall trading begins.

“Don’t open the charts, don’t do any training. Take a nice break before fall trading begins.”

For those who do choose to trade, the emphasis is on scaling down risk.

“Don’t give your week back. Go into the weekend a winner. Use a smaller daily loss limit, or a percentage of your weekly profits, or a one-loss-and-done mentality. Maybe only trade a new evaluation account. Maybe don’t trade your funded accounts. Whatever the case, today is a beautiful day to scale down or start enjoying your holiday weekend.”

Looking ahead, next week will be shortened but includes major events such as JOLTS and Non-Farm Payroll, providing another opportunity to take extended time off.

Economic Calendar for Friday, 29 August

Key releases today include:

PCE: One hour before the market open.
Revised Consumer Sentiment: Thirty minutes after the open.

Market Structure and Key Levels

E-mini S&P 500 (ES):

ES made a new high in RTH, establishing a proper location for a significant high.
Currently in the lower distribution—not bearish, but not particularly bullish either.

Key Price Levels:
92–93 Area (Top of Range): Strong support.
“We might get a good bounce off 92 to 93—the top of the range. That’s what you have to expect.”
“We’ve had two really good bounces off this area.”
If this level breaks, traders should be alert to market reactions around the open.

64.92 (Overnight Low):
“If we take out the overnight low and get back above 64.92, be careful seeking shorts above here.”

RTH Low: Another important level to watch for price action.

E-mini Nasdaq 100 (ENQ):

Still a distance from its all-time high, unlike ES.
Key scenario: will ES, ENQ, and others grab liquidity at the same time?

This could be a catalyst for a selloff, or a ladder back into ENQ reaching its all-time high. The plan is to trade levels and reactions as they occur.

Review of Previous Trade Ideas and Current Setups

Trade Idea #2 (Last Night): Did not develop—no trade. The plan required active management, waiting for a reaction back over the open and retest of the halfback for a long.
Battle Plan Trade Idea #3: Currently setting up nicely; traders should review on microtrader.com.
Speculator Special (Last Night): Did not trigger since the required high wasn’t reached.
Short at 20 (Up Move): Considered, but price didn’t reach the level.
Asia Session: Consolidation.
London Session: Attempted a move, then broke lower with fair value gapping into the 92–93 zone, which produced a strong bounce.

Trading Philosophy and Psychological Advice

Micros Trader stressed patience and capital preservation. He recounted a small long trade that ended as a scratch—illustrating the importance of stepping aside quickly.

“It didn’t hurt me. I’d rather take a small scratch and start over, looking at the chart with fresh eyes.”

A sign of strength he looks for is fair value gapping candles coming out of an area, showing genuine momentum.

"Do not look at his appearance or his stature because I have rejected him. Man does not see what the Lord sees, for man sees what is visible, but the Lord sees the heart." — 1 Samuel

Tip of the Day: Friday rules on steroids before a holiday. “Don’t give your week back. Go into the weekend a winner.”

Conclusion

This unique holiday session demands caution. The recommendation is to avoid trading or scale risk down significantly. The 92–93 zone remains a critical level, and liquidity grabs could spark notable moves. Next week’s shortened schedule brings key economic data, setting up opportunities after the long break.

❓ FREQUENTLY ASKED QUESTIONS

FAQ – AM Briefing for Friday, August 29th

What is the main advice for trading on Friday, August 29th, and why?

The primary advice for Friday, August 29th (the last trading day of the month and before a long weekend), is to trade cautiously or, ideally, not at all. This is due to a combination of "Friday rules" and the added factor of a holiday on Monday. Traders are encouraged to scale down their trading activity, use smaller daily loss limits, or adopt a "one loss and done" mentality to avoid giving back weekly profits. Micros Trader even suggests taking the entire weekend and the following Tuesday off for a five-day break, as the day after a holiday often has "horrible price action."

What economic data releases are scheduled for Friday, August 29th?

On Friday, August 29th, two key economic data releases are scheduled. The PCE (Personal Consumption Expenditures) report will be released one hour before the market opens, and revised consumer sentiment data will be released 30 minutes after the market opens.

What was the outcome of yesterday's "trade idea number two" and why?

Yesterday's "trade idea number two" did not develop as planned, resulting in a "no trade" scenario. The idea involved price coming down to the openingish area, getting back over, and then a quick, strong reaction followed by a retest of the halfback for a long position. The crucial element of "lading" (likely referring to liquidity or order flow) was necessary for this trade, making it impossible to set a limit order and leave.

What key levels are traders watching for a potential bounce or reaction?

Traders are closely watching the 92 to 93 area, which is identified as the top of a range, for a potential bounce. There have already been two "really good bounces" off this area. Additionally, the RTH (Regular Trading Hours) low is considered important, and traders are looking to see what happens when price interacts with these levels. The possibility of targeting the bottom end of a range is also mentioned if price gets underneath certain levels.

What is the current market sentiment regarding the ES and ENQ instruments?

Currently, both ES (E-mini S&P 500) and ENQ (E-mini Nasdaq 100) are in the lower distribution. While this is not outright bearish, it is also "not the most bullish situation." ES made a new high in the RTH session, which is considered a proper location for a good high, but ENQ is still quite a distance from its all-time high. Traders are monitoring whether both instruments will grab liquidity at the same time and what the subsequent reaction will be.

What characteristics are traders looking for to confirm real strength in a market move?

To confirm real strength in a market move, traders are looking for "fair value gapping candles coming out of an area, showing me that there's real strength there." This indicates a strong, decisive move that suggests genuine buying or selling pressure.

Why is Micros Trader hesitant about the recent downward price movement during the Asia session?

Micros Trader expresses distrust towards the recent downward price movement during the Asia session, describing it as "disgusting lading down." This suggests a lack of conviction or a manipulative nature to the move, making him wary of its sustainability or authenticity. The entire Asia session was largely consolidation, with London attempting to initiate a move before a strong "fair value gapping" move to the south.

Where can traders find more detailed trade ideas and battle plans?

Traders can find more detailed trade ideas and "battle plans" by visiting microtrader.com and clicking on the "battle plan" section. This resource is highlighted as a place to find potential trade setups, such as "battle plan trade idea number three," which is described as setting up "really nice."