Together with

In yesterday's letter, we wrote:

This is what happened. We drifted down overnight, losing the crucial 5636 SPX level. Once the market opened, we quickly dropped to a low of 5586, just above the 5583 target mentioned. After that, we attempted to reclaim the 5636 level but failed to do so, leading to a choppy day that ended with a dip into the close at 5606. It became evident that the loss of 5636 triggered bearish sentiment in the market, and the anticipated moves played out as expected. $SPY ( ▼ 0.11% )  $SPX ( ▼ 0.01% )  $ES_F ( 0.0% )  

See how well the levels work?

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Now that we lost a key support and had a nice drop and chop on higher volume, where do we go from here? What levels are now must hold ahead/during tomorrow’s FOMC decision and what targets above will pave the way for a squeeze higher?

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 overall levels played out nicely, confirming the bearish outlook after losing 5636 early in the session. The market's drift down and inability to reclaim that level provided a clear signal to stay on the sidelines or take short positions. Always trust the levels.

Now we are sitting in AH right on the key 5585 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 marked by a significant move lower on higher volume than yesterday, setting the stage for tomorrow’s major event: the FOMC federal funds rate statement and press conference. This will likely introduce further volatility into the market, so be prepared for potential swings and fast-moving action.

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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