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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.

In yesterday’s letter, I wrote:

This is what happened. Overnight, we didn’t even need to retest the 5616 level and rallied all the way up to 5631 level prior to the open. Then a little dip prior to the open with a high of 5627.03, just below the 5631 target.

However, after reaching that peak, we failed to hold multiple levels including the key 5579 and eventually fell back to a low of 5560.95, just above the 5557 target I had indicated.

See how well the levels work?

Now that we’ve seen this volatility, where do we go from here? How do we manage risk and identify entry points? More in the trade plan below.

The $SPY 2DTE 567 call ran from a low of $41 to $85 for 107% gain.

I traded these calls for 36% after being very patient with watching us lose multiple levels. More in the trade recap below.

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

The levels held up remarkably well, confirming bullish sentiment overnight but ultimately losing the critical 5579 level. The drop into the 5560s raises concerns, and we are now fighting to hold those supports. Always trust the levels!

Now we are sitting in AH right above the key 5562 support level. What does this mean and where do we go from here? Read below for my 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.

Trading Plan

Here is a current check of the daily:

This includes all the way back to 1/5 & all overnight action.

On the daily, we’ve dropped but managed to reclaim the lows of the current range by the close. However, after hours trading has pushed us down further.

Quick volume check:

Volume was less than expected given the significant move lower, but tomorrow we have an array of important economic data to digest, including GDP, unemployment, and pending home sales. This could lead to increased volatility and trading opportunities.

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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