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In yesterday’s letter, we wrote:

This is what happened. The market played out beautifully as anticipated. We got the dip and defense before the open precisely at the 6040 SPX level, or 6062-6063 /ES. After a brief dip post-open to 6052, we defended that level and then the market surged higher. We moved smoothly through the targets, ultimately hitting a high of 6116.91, comfortably above the key levels we had outlined yesterday.

See how well the levels work?

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FIND PROTECTION

Now, after such a strong performance, where do we go from here? What levels must we hold to keep the bullish momentum alive, and what targets above will keep us feeling confident? Are we poised to surge to fresh all time highs on a Friday or will we sell off once again?

More in the trade plan below.

Below, we’ll cover the actionable levels, how we played them today and what they mean for the next session.

Overall, the levels played out incredibly well today. We set the stage for a bullish day before and right after the open with the defense at 6040 and 6052, and the market responded by pushing higher. Always trust the levels.

Now we are sitting in AH right on the key 6111 support level. What does this mean and where do we go from here? Read below for our trade plan which includes actionable support & resistance levels, outlook for the next session and today’s trade recap.

Learn the system to make 1-3 low risk, high reward trades per day using SPY/SPX options.

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Don’t miss the Topic Directory - Getting lots of questions that are answered in here.

There seems to be some confusion as to the premium subscription and the discord chat. If you are premium and you do not have access to the “Premium Members Only” channels including “members-only” please authenticate yourself in the “bot-request-premium” chat. Or send me a DM in the discord!

Also - if you missed it - join our chat during market hours for premium subscribers. We are now leveraging discord for this. Link is at the very bottom of premium content: Trading Plan section below.

Trading Plan

Today, we had an impressive 1% bounce back gain on decent volume.

Looking ahead, tomorrow we will be watching for retail sales data prior to the open, along with at least one FOMC member speaking in the afternoon. Keep an eye on these events as they could influence market sentiment and further price action.

I am receiving some great questions from beginners. This is helping me develop guides for this group as well as the course. More to come but I’ve created a separate channel in the discord just so you can not be shy about bringing those questions to the group. No question is dumb, we grow stronger together!

In fact, I’ve created this single resource as a guide. It is a living document and we will continue updating it. You must be logged into the site to read it:

https://letter.spyoptionsactionablelevels.com/p/strategy-guide-the-basics

As readers know trading after a massive move in either direction is risky.

Trying to predict when trend will break is a fool’s game because the trend can be stronger than you ever realize.

Going with the trend is hard because it has already run so far (or dropped) and move may be close to over.

All you can do is pick your entries carefully and with proper position sizing. Trading out 1-3 DTE or further also helps soften the blow.

Yes it will decrease the amount of profit but will greatly help keep you in a trade long enough to see return.

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