In yesterday’s letter, we wrote:

This is what happened. The levels played out tremendously well as we held the 6094 SPX level overnight and then rocketed all the way up to a high of 6127.47, just shy of fresh all-time highs, but we encountered a failed breakout above the critical 6124 level to close at 6114.

See how well the levels work?

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Now that we hit new all time highs and stalled out, where must we hold now heading into Tuesday? What breakout resistance level above would alert that we’re in the clear?

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 played out great today with the defense of 6094 SPX overnight in futures and was crucial for today's upward movement, showing the effectiveness of our strategy. Always trust the levels.

Now we are sitting in AH right on the key 6111 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

As for future trading, today was characterized by a tight range doji candle on lower Friday volume.

Looking ahead, Monday is a holiday, but that doesn’t stop two FOMC members from speaking. On Tuesday, we have manufacturing and housing data releases, along with another FOMC member speaking during the trading session. Wednesday will bring the FOMC minutes from the last meeting, which could serve as a potential volatility event.

Overall, the market is positioned for potential movement in the coming days, especially with several key economic indicators and Fed commentary on the horizon. Stay alert and prepared for 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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