In Friday’s letter, we wrote:

This is what happened. The market opened strong and we quickly pushed up overnight, retesting the crucial level of 6004 before continuing our upward trajectory. We then rallied above 6026 after a quick retest and reached as high as 6051.51, ultimately cooling off near the 6050 level.

See how well the levels work?

Now that we are within reach of all time highs again, do we pop straight there or do we need a major retest first? Where must we hold and where can we feel confident longing?

More in the trade plan below.

Below, we’ll cover the actionable levels, how I played them today and what they mean for the next session.

The overall levels played out nicely as we managed to push through and only needed to retest 6004 briefly before the real move higher began. Always trust the levels.

Now we are sitting in AH right on the key 6054 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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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 great 1% green blast up, and it was on higher volume than the prior three sessions, indicating solid buying interest.

Looking ahead, tomorrow the world economic forum continues and be on the lookout for any news coming out of the new administration that could impact market sentiment and trading conditions

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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