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In yesterday's letter, we wrote:

This is what happened. Overnight we had a nice rally that took out the key levels of 5640 and 5655, allowing us to run up to 5670, 5685, and finally 5691 before a dip occurred. After the market opened, we saw the expected dip & defense at 5655, which was critical in propelling the market to a high of 5720, just shy of the 5728 target mentioned yesterday, before we dipped into the close. $SPY ( ▲ 0.68% )  $SPX ( ▲ 0.58% )  $ES_F ( 0.0% )  

See how well the levels work?

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Now that we've seen a solid rally, where do we go from here? What levels should we be monitoring to ensure we don't lose bullish momentum?

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.

The levels played out perfectly today as we initially took out the critical 5640 and 5655 levels, which paved the way for the rally we experienced. Despite closing off the highs, we held the key 5655 level, which is encouraging for the bulls moving forward. It's essential to trust the process, and the defense at 5655 was a key indicator for the next bullish move. Always trust the levels.

Now we are sitting in AH right on the key 5667 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 brought a nice move higher on slightly better volume than yesterday's FOMC.

In terms of tomorrow, we have a long list of FOMC members speaking throughout the day and into the evening, with at least 10 speeches scheduled. This could add additional volatility and market movement, so be sure to stay alert to any shifts in sentiment that might arise from these discussions.

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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