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In Friday’s letter, we wrote:

This is what happened. The market reacted sharply to major weekend news from the administration regarding tensions with Iran. We lost the critical 6834 SPX level in futures trading, which triggered a swift drop through our downside supports, ultimately reaching a low of 6763 SPX before a recovery began.

We managed to reclaim the 6802 level in the regular session (after hitting an intraday low of 6796.85), and even pushed through to 6899, with a high of day at 6901.01. However, we were unable to maintain momentum and could not hold above 6899, resulting in a flat close from Friday’s levels—an important feat given the volatility we experienced. $SPY ( ▲ 0.06% )  $SPX ( ▲ 0.04% )  $ES_F ( 0.0% )  

See how well the levels work?

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Now, as we step into another trading day, the focus shifts to the market’s ability to hold or recover key levels. Where do we find support, and where do we need to target for shorts if the bearish bias continues?

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 6834 triggered the drop to the 6763 support overnight but the recovery of it led to a run to the key 6899 resistance target exactly. Always trust the levels.

Now we are sitting in after hours right on the key 6871 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 was a flat/unchanged day characterized by wild volatility driven by heavy news.

As we look to tomorrow, we will continue monitoring for updates out of the Middle East and prepare for speeches from at least two FOMC members throughout the session, which could further influence market dynamics.

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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