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 unfolded - we got a bit of all of this. The market exhibited some choppy behavior yet managed to defend the critical 5828 level throughout the day. We saw a rally that peaked at 5863.04, just shy of our 5869 target. The levels I highlighted worked well amid the volatility, showing the importance of keeping an eye on key support and resistance points.

The market dynamics suggested a careful approach given the choppiness. The defense of 5828 was crucial, and it set the stage for the move towards the high of the day.

See how well the levels work?

Now that we yet again dipped to key level and defended, but lacklusterly chopped, where do we head from here? Are we just bouncing off key supports and are destined to fail?

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 defense at 5828 in the regular session was key and was the “‘tell” to favor longs rather than short on this choppy Tuesday. Always trust the levels.

Now we are sitting in AH right on the key 5845 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

As we move into tomorrow, we find ourselves in a slightly precarious situation. The close was marked by a red candle on lower volume, indicating potential fatigue among buyers.

Tomorrow brings a busy calendar with two FOMC members speaking, alongside existing home sales and oil data releases, which could provide additional volatility to the markets.

Traders should remain vigilant as these events unfold and consider how they might impact market sentiment and movement. Keep an eye on the critical levels and prepare accordingly.

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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