Game Plan for May 13, 2022
Make sure to observe the 392.50 area as spy resistance for now. If that resistance breaks, we must wait and have patience, then go long and never chase. Overall, spy daily RSI at 30. Significant consideration note to take. But still, plenty of room to go down as RSI is calculated and first, down to 30 can be a fakeout, then 50, fall again back to 30 RSI, which means price movement will be way different and can go down far beyond imagination.
Two Scenario for tomorrow:
First one: Observe the market from 7:00 am-9:30 am EST. If we see a sell of pre-market, then for sure, on market hours, we can touch the resistance of 392.50. then back down again.
Second: If the resistance gets destroyed, wait for the cool off previous resistance to become support and go long from 392-394.
OPTIONS
Look at May 20, 2022, 380 puts if 392.50 area gets rejected and go long when resistance gets denied, then play with May 20, 2022, 405 calls.
Make sure to observe the 392.50 area as spy resistance for now. If that resistance breaks, we must wait and have patience, then go long and never chase. Overall, spy daily RSI at 30. Significant consideration note to take. But still, plenty of room to go down as RSI is calculated and first, down to 30 can be a fakeout, then 50, fall again back to 30 RSI, which means price movement will be way different and can go down far beyond imagination.
Two Scenario for tomorrow:
First one: Observe the market from 7:00 am-9:30 am EST. If we see a sell of pre-market, then for sure, on market hours, we can touch the resistance of 392.50. then back down again.
Second: If the resistance gets destroyed, wait for the cool off previous resistance to become support and go long from 392-394.
OPTIONS
Look at May 20, 2022, 380 puts if 392.50 area gets rejected and go long when resistance gets denied, then play with May 20, 2022, 405 calls.