🗞️YEET AM Edition: Multi-bagger Hunting in the Morning
A Spicy YOLO, Education, New Flow Plays, Tracking Current Contracts, SPY Levels and Read
Hey! I’m @yourboymilt, and welcome to the Daily Newsletter! I should probably let you know...This is not financial advice!
Pt. 1 SPY: Levels and Analysis, Breakdown Video// Pt.1, Flow: Plays and Analysis, YOLOs, Contract Updates
🕵️ Pt. 1: SPY Flow, Levels and Analysis
I woke up in the mood to find a multi-bagger, so I tried to think through SPY the way I do on some of the days I have big hits and placed it here with some callouts. Generally it’s patience, and having a plan for the Price Action no matter which way it breaks.
What I saw in the price action was…
SPY Naked: Looks like your run of the mill bullish pennant, which would push up to retests of the higher levels
SPY Naked + Levels: WIth our levels added now (yellow major and purple minor), we see that 423 is our next scheduled stop on the SPY redemption tour after the Thursday meltdown
Problematizing Factor 1? Structure: We have these trendlines—which have won us many a trade this year—giving us an upside caution signal based on previous performance, which would shoot us to lower levels.
Problematizing Factor 2? A Backtest: I’m a price action purist and believe that levels need to be closed out to the cent to be considered a proper retest of the level—there is still a little more drop left before this level warrants a pop. Yes…the 20 cents difference matters; to defeat the algo, we must think like the algo.
I’ve got the itch for a major SPY play, and there are two ways this jumbled chart setup can scratch that itch. These are the callouts and the levels I’m waiting for…
SPY 518c at 516.75 backtest support
SPY 517p at a rejection of SPY 521 / The First Trend Above
There are two ways to know it’s going to reject or not. First is to wait for the hourly candle to close beneath or above. I usually don’t want to wait for that, and instead look at if the candle wicks or not off the level during the first fifteen minute
SPY 520p at a rejection of the upper trend, 524, 524.7, or 525.98 (previous high).