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In Friday’s letter, we wrote:

This is what happened. We saw the anticipated dip and defense at 6384 during Sunday futures, and again twice in the regular session, which enabled a rally up to a high of 6407.25. However, post this high, the market consolidated and began to drift lower, while still managing to hold the key support level of 6371 into the close. $SPY ( ▲ 1.07% )  $SPX ( ▲ 1.13% )  $ES_F ( 0.0% )  

See how well the levels work?

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Now, with CPI on the horizon, where do we go from here? Where must we hold on any post-CPI reaction to keep the recent rally alive?

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 alright as we had the 6384 defense overnight and in the regular session twice to rally 20+ points each time. Then everything drifted lower as supports gave way throughout the session to defend 6371. Always trust the levels.

Now we are sitting in AH right on the key 6372 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.

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Trading Plan

Today exhibited a quarter % point move lower on relatively lower volume, especially for a Monday.

All eyes are now on CPI data before the open tomorrow, which could potentially surprise and move the market significantly. Additionally, we should keep an eye out for two FOMC members speaking during the session, as their comments could also sway market sentiment.

As we navigate these upcoming events, it's essential to stay focused on the levels we’ve identified and remain vigilant for potential trading opportunities.

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 can not 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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