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First Few Lessons Already Launched - Order Now

Order Now - First few lessons launched on 2/19!

What we’re reading:

In yesterday’s letter, I wrote:

This is what happened. While we held above overnight, after a brief bounce after the open we fell to flirt with this level much of the day before finally losing it (clearly failing) in the afternoon. Then we fell down to a low of 5056.82 just above the 5050 level before bouncing into the close at 5078, just above the 5075 level noted above.

See how well the levels work?

Now that we lost the key level and dipped, how much more selling is ahead? What are the key levels above and below that point the way? Finally, is there any significance to the end of day rally?

More in the trade plan below.

The $SPY 1DTE 510 calls ran from a low of $152 to $213 = 40% gain.

I traded these called out in the chat from $170 to $198 for 16%. This was my only trade. I did want to get into puts once we finally failed the key level but I didn’t want to trade again after the small win. 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.

Levels from the prior letter were incredible. While much of the day we looked like we could have a defense of the key level, when we finally lost it it was clear where we were headed. Always trust the levels!

Now we are sitting in AH right on the key 5080 support level. What does this all 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 6/29 & all overnight action.

We dipped below Friday’s new breakout range. Right back to the prior zone. We can easily bounce from here but need to continue the move we had late today as momentum.

Quick volume check:

Higher volume on this trend down day is no surprise.

Tomorrow is full of unemployment data, Powell testifying and Fed Member speech.

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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