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In yesterday’s letter, we wrote:

This is what happened. The key levels we were monitoring played out exceptionally well today. We began the session with a loss of the critical 7536 level right at the open, which signaled the start of a downward trajectory. From there, the market continued to move lower, successfully hitting all our downside targets of 7522, 7509, 7495, 7480, and 7466 and much much lower. $SPY ( ▼ 2.58% )  $SPX ( ▼ 2.64% )  $ES_F ( 0.0% )  

See how well the levels work?

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Now, after a significant down day, where do we head next? What levels should we focus on to gauge the potential for a reversal or further decline?

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 loss of 7536 SPX was the critical tell that the downside move was in play. Always trust the levels.

Now we are sitting in after hours right on the key 7356 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’s session was marked by a massive 2.6% drop on huge volume, indicating strong selling pressure. The loss of 7536 was a clear signal for traders to take action, and those who followed the plan benefited from the move.

Looking ahead to Monday, we have a relatively quiet day in terms of scheduled reports and speeches, but it is crucial to remain vigilant for any unexpected news, especially from the White House or developments in the Middle East, which could impact market sentiment dramatically.

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

In fact, we’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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