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In yesterday’s letter, we wrote:

This is what happened. In the after-hours and overnight session, we saw an impressive defense at the 5168 SPX / 5205 / ES level, leading to a strong rally that pushed us up to 5376 ES and 5339 on the SPX. However, before the open, the market tested lower levels, quickly losing the critical 5278 and 5251 SPX points. This set the stage for a sharp decline, but then the most magical thing happened..

We successfully defended DIRECTLY at the 5220 level, which held as the low of the day at 5220.77.

This was just 77 cents from the key hold, where we had previously indicated that if we lost it, we would look to short. Instead, the defense here allowed a long that was bottom of the day and subsequently triggered an impressive 161-point rally, reclaiming all levels up to 5381. $SPY ( ▼ 2.22% )  $SPX ( ▼ 2.24% )  $ES_F ( 0.0% )  

See how well the levels work?

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Now that we’ve rallied significantly, where do we go from here? What levels do we need to watch to maintain momentum, and what does our volume tell us?

More in the trade plan below.

We defended 5220 at low of day 5220.77 - 77 pennies from the precise support level!

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

The levels performed fantastically. The 5220 key hold short below level was a laser target. Always trust the levels.

Now we are sitting in AH right on the key 5361 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 marked a substantial 2% rally on lighter Friday volume. These 2% up and down days are becoming standard amid ongoing trade tensions and volatility.

Looking ahead to Monday, we have at least four FOMC members scheduled to speak, so it is sure to be another doozy. Also, keep your ears open for any news or rumors regarding tariffs that could impact the market.

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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