Monday Mar 27 2023 SPY SPX ES Actionable Levels
Rally time for SPY, but does it have legs?
This is a repost of Friday’s letter for Monday.
In yesterday’s letter, I wrote:
“For tomorrow, if we don’t fail 3928/3908 then 3971/3979/3992 could be in play.”
This is the direction the market chose. We did defend 3908 (hit an intraday low of 3909) and then it was choppy action until we lifted off in the afternoon to 3971.
But essentially we are bouncing back and forth in the same range. These are levels we were battling in November and all the way back into May!
The key question is, does this rally have legs?
After a bounce off the 200 day SMA we are now firmly above. We also have bounced off the significant downtrend line from Jan ‘22 and are now well above.
Below, we’ll cover the actionable levels and those that absolutely must hold to give us the answer.
Levels from last night worked out great. However, let me be brutally honest with you. Other than a couple put plays off level rejections, there wasn’t much that was noteworthy today. More in the trade recap below. Always trust the levels!
Additionally, some brief info regarding VWAP below, what it means, and how you can use it.
Now we are sitting in AH just above the key 3978 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 Monday’s session and today’s trade recap.
Learn the system to make 1-3 low risk, high trades per day using SPY/SPX options.