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In yesterday's letter, we wrote:

This is what happened. The levels did their job again, first with the dip and defense at 5910 overnight, which facilitated a quick 30-point rally. We then had another dip leading us to the breakout levels of 5922 and 5928, allowing for a push all the way up to 5958, closing shy of the 5967 target and just below the 5961 level. $SPY ( ▲ 0.63% )  $SPX ( ▲ 0.7% )  $ES_F ( 0.0% )  

See how well the levels work?

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Now, with another decent jump but on lower Friday volume (and a decent dip after hours), when is first big sell? How much more pain for shorts before we get a significant sell?

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 were great overnight at 5910 defense and then again in the regular session with the 5922 hold and 5928 breakout the ran us up close to 5961 level. Always trust the levels.

Now we are sitting in AH right on the key 5931 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.

If you are enjoying this letter, consider sharing with a friend! We even have a referral program where you can earn free subscription time for referring others that sign up for a paid subscription.

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 us a solid 3/4% rally on decent, albeit lower volume for a Friday.

Looking ahead to Monday, we have a lighter schedule for reports, but we will see at least four FOMC members speaking throughout the day. Additionally, keep an eye out for any trade news that might emerge over the weekend as it could influence market sentiment.

As always, remember to stay nimble and focused on key levels as we navigate through this volatile trading environment.

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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