Week of 6/30/2024 for SPY SPX ES
Quite a Bit to Recap, and We Have Box
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Be sure that you have read the free series I’ve started introducing Volume/Market Profile. I will continue to add archives of free content as it will be easier to find than searching for old Substack posts. You can find it halfway down the page at the following link PharmD Capital
After 2 weeks on vacation, I’m glad to be back to work. As expected, I couldn’t quite stay away, at least from the Discord. We had some great action on SNOW 0.00%↑ PLTR 0.00%↑ BMY 0.00%↑ NFLX 0.00%↑ PALL 0.00%↑ ZM 0.00%↑ along with a few others we had percolating. SBUX 0.00%↑ on the other hand was busy doing SBUX 0.00%↑ things (it is often a horrible stock to try to trade on short frames).
I’m looking forward to doing a lot more individual names in Q3, especially when the index is consolidating.
SNOW 0.00%↑ gave us our first real setup with a decent low after we had been monitoring the 120s range for re-accumulation and it started to form a box.
It made a slightly higher low (effectively a double bottom) the next morning, reclaimed 124.69 and was off to the races
PLTR 0.00%↑ was kind enough to give us reloads. We had been long July 24C from the low 23s and they had ripped a few hundred percent by 6/20. A silly downgrade from a no-name analyst gifted us the opportunity to reload with 25C
I woke up a little late being on HI time but the calls ran from 0.62 to 1.32 in a couple trading hours.
SPY 0.00%↑ ripped higher into Thursday the 20th when I issued a caution to tighten up longs and not get caught up in the froth at 535AM EST (Discord was EST-6 in HI). We then looked for the back test of the box which we’ll continue to focus on this week.
The index was a short until it back tested the 3-day box. From there it was appropriate to cover/hedge shorts and/or fish for longs. The prior box held and resolved for nearly 60 handles to the upside on SPX and 70+ on ES. ES is now trading in an 8+ day box.
QQQ 0.00%↑ is also trading in a box
This week’s plan will discuss how we will trade the box. Individual names will continue to be updated in the Discord. I may do a post on a few others if time is permitting this weekend. Otherwise those will be in the discord as well.