Don’t miss the Topic Directory - Getting lots of questions that are answered in here.

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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. The market opened and tested those key levels with a low of day at 5593.48, firmly defending the 5592 level as anticipated. We indeed didn’t need to retest 5605, and after holding 5592, we climbed steadily higher. We saw a high of 5631.18, just above the 5630 level, where we experienced a slight rejection, but overall the bullish sentiment remained intact.

See how well the levels work?

Now that we’ve pushed into the upper range, where do we go from here? What levels should we look to defend to ensure the trend continues?

More in the trade plan below.

The $SPY 0DTE 562 calls ran from a low of $21 to $96, for 357% gain.

I traded these calls as called out in the chat. I was able to scale out for a nice 40% pickup and let my stops work for profit on the remaining shares. 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.

Even with the chop today, the levels played out nicely with defense at 5592 (low of day 5593.48) and rejecting just above the key 5630 level at 5631.18. Always trust the levels!

Now we are sitting in AH right above the key 5616 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.

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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 chart, we have just chopped within range for another session and remain firmly within the very center of the range.

Quick volume check:

Volume continues to be weak and lower than yesterday.

Tomorrow, we have FOMC members speaking overnight and after the close, along with Crude Oil numbers during the session. Keep an eye on these events as they could inject volatility into our trading environment!

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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