Futures are on fire this morning and could be settling back after the open. It’s time to be strategic in your plays and don’t let FOMO rule your decisions
Green futures to start the day as SPY is trading above the 50 day simple moving average line resistance level which it was essentially stuck at yesterday. Indicators are aligning to show signs of a short term call option move today using an Inverse Head and Shoulders, likely on a 5 minute chart to spot an entry.
While 297 is standing out as resistance and 296.30 is must hold support today, above 297 and SPY has room to move back toward the “SPY 300” level which everyone loves to talk about! So while it seems like a call option bias today, should 296.30 support break to the downside, calls will be off the table as there could be up to two dollars or so worth of gap down room, especially if some bad news were to hit markets during the trading session.
From here, should SPY hold 296.30 support and form a nice entry price with limited downside within the first hour of the trading session. Hopefully we’ll see more moves in markets today than yesterday as yesterday was a fairly flat trading session.
Resistance: 297, 297.50, 298
Support: 296.50, 296.30, 296
Today’s Trade of The Day is SPY September 11 298 Calls
