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In yesterday’s letter, we wrote:

This is what happened. After holding the bullish level of 7749 overnight, we opened the session strong, hitting a high of 7767.51-right at our 7769 target. However, the market then entered a phase of consolidation, leading to a drop that tested our critical support at 7719. Fortunately, the level held firm, allowing us to push back up to 7734 before facing another decline into the close. $SPY ( ▼ 0.32% )  $SPX ( ▼ 0.32% )  $ES_F ( 0.0% )  

See how well the levels work?

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Now, with CPI on deck, what are the key levels to watch moving forward? Where must we hold on any spikes down and what are next targets above?

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 defense of 7749 overnight and 7719 during the day were prime examples of the critical supports at work. Always trust the levels.

Now we are sitting in after hours right on the key 7725 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

Overall, today was a consolidation day, finishing down by 0.3% on lower volume as the market awaited the important CPI data due tomorrow.

Looking ahead, tomorrow’s CPI report will be critical, as well as any news that might come from the White House or developments in the Middle East. Additionally, the 10-year bond auction in the afternoon could influence market sentiment.

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 don’t have to 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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