The Global Algorithmic Trading System (GATS) offers a structured, multi-layered framework designed to pinpoint high-probability trend continuations and reversals. In this blueprint, we’ll apply GATS to the S&P 500 daily chart—leveraging color-coded EMA zones, MACD, momentum oscillators, volume/pressure filters, and ADX/DMI—to craft a tactical trade plan.

1. Market Structure (EMA Zones)

• All seven EMA zones are perfectly stacked ascending:
  • Momentum (EMA 1–8)
  • Acceleration (EMA 9–15)
  • Transition (EMA 16–25)
  • Value (EMA 26–50)
  • Correction (EMA 51–89)
  • Trend Reassessment (EMA 90–140)
  • Long-Term Trend (EMA 141–200)
• EMA 50 has decisively crossed above EMA 89 and remains extended—confirming the primary bullish regime.

2. Trend Momentum (MACD 15,25,8)

• MACD line (~72.80) is above its signal line (~49.53).
• Both MACD line and histogram are well above zero.
• Interpretation: Accelerating bullish momentum fully supports the structural up-trend.

3. Oscillator Suite

4. Volume & Pressure Filters

• Bulls Power (14): ≈ 172 → Heavy buying pressure.
• Bears Power (14): ≈ 118 → Sellers unable to break EMA support.
• Force Index (14): Large positive readings confirm volume-backed advances.

5. Trend Strength (ADX & DMI)

• ADX (14): ≈ 34.8 (> 20) confirms a powerful trending market.
• +DI (14) > –DI (14): Clear bullish directional bias.

6. Multi-Timeframe Alignment

• Signal Bars (M1 → D1) are green on all timeframes, reinforcing the daily setup.

7. Volatility & Tactical Levels

• ATR (26): ≈ 110 pts → Guides DAATS stop placement.
• ADR: ≈ 50.8 pts → Today’s range is typical.
• Support Zones: EMA 50 (~5 837) & EMA 89 (~5 695).
• Primary Target: 1.618 Fib extension near 6 143.
• Stop-Loss: Below EMA 89 or 1.2× ATR under entry.

Trade Plan Summary

• Setup: All GATS pillars align bullish (Structure, Momentum, Oscillators, Volume, Trend Strength).
• Entry:
  • Aggressive: Market-on-close at current (~5 902).
  • Preferred: Pullback to EMA 50 (~5 837) with a bullish daily close pattern.
• Risk: DAATS stop (1× ATR) or below EMA 89.
• Exit: Partial at 1.618 Fib (~6 143); trail remainder with DAATS.
• Warning Flags: Stochastic %K downturn, MACD histogram contraction, or EMA 50 slipping below EMA 89 → exit immediately.

Business Model Clarification

Global Accountancy Institute, Inc. and Global Financial Engineering, Inc. operate strictly as internal proprietary trading firms. We do not offer courses, products, or investment services to the general public. All analyses and frameworks shared here are for educational demonstration within our closed trading desks.

About the Author

Dr. Glen Brown is President & CEO of Global Accountancy Institute, Inc. and Global Financial Engineering, Inc. With over 25 years of experience in proprietary trading, algorithmic systems (GATS), and risk management, Dr. Brown leads the development of advanced strategies—blending EMA-zone frameworks, dynamic ATR stops, and statistical models—to deliver robust, high-conviction trade setups.

Risk Disclaimer

Trading financial markets carries significant risk. This article is for educational purposes only and does not constitute financial advice. Always perform your own due diligence and consult a licensed professional before making trading decisions. Past performance is not indicative of future results; you are solely responsible for your trading outcomes.