Wild wild volatility. Have I ever mentioned how much I love volatility??
So I am going into tomorrow with a bullish bias (not long term, of course, but perhaps for a few days up to a week) We are at a very key support level, the bull gap that was opened back in April 2021. I also see a double bottom with a bullish divergence in the RSI.
I know, I know… futures are super red right now… yikes… (ES1! -1.46) but I just feel like these two technicals are enough to see a move upward, even if it’s short lived.
I have no open positions at the moment. Last week I only day traded And I was 4-1 on my trades on the weeklies (Thursday kicked my a**, lol) This feels like a terrible place to go short and I would really like to see a drop in VIX so I can get a more advantageous put position further out again- I am looking to July 15 - but until then I’m sniper day trading the closer contracts…. I really love VIX above 25… so happy…
Oh my gosh, I forgot that I yolo’ed a few 424 calls for Monday @.30x10… LOL… don’t judge, sometimes I get reckless…. Not usually but I had such a great April and that double bottom made me do it…I'm almost never that far out of the money... I don’t even consider that a positions… so that's the only small position I have on right now...
I also want to point out that if the bull gap bottom at 400 does not hold, then the next support below that is at 383.
Anyway… let me know what you guys think… I’m tagging this long, but let’s see how this opens…. I’m technically playing both sides intraday depending on what trade presents itself in real time… And big picture I’m still bearish….
for reference when following along can you sometimes provide which options you're buying strike/ expiration etc. I generally buy near or at the money but know there's other strategies to implement like to see yours. Thank You! GL
Original_Stock_Whisperer
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I hope you know what you’re doing.
SPYder_QQQueen_Trading
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@Original_Stock_Whisperer, LOL... Day trading day to day has been the safest play so far... not holding much over night and I'm hitting that 50% almost on the daily... I'm 38-3 so far in this volatility... I'm absolutely loving it... That massive head and shoulders just completed... I'm thinking small bounce here and then waterfall down to 383
Slickz94
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@LadyAmalthea12, Are you thinking the waterfall near end of may early June after the small run up?
Original_Stock_Whisperer
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@LadyAmalthea12 congrats. That’s awesome. Your target is for this week? I think your close but just a little aggressive on it. If we did hit 383 that better wick or there is some real trouble. Trouble I am looking for and want and is coming but this week I mean if we closed there, look out. I think we stay just a teeny tiny bit above for now. But hey if we closed candles at 383 bring it. Let’s get this shit show catching some momentum and just dump instead of playing this ping pong game. I wouldn’t mind just a dump to take us down the rest of the way as much fun as it has been so far a dump and head for the bottom would be fun too.
Original_Stock_Whisperer
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@LadyAmalthea12 follow the updates on my post if you want. I’ll make ya filthy rich. Lol.
cas34310
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Okay I was thinking the same thing. The one issue keeping me in cash is that it's been crushing through a lot of supports with a lot of upside the past week. Also the QQQ seems to lead the SPY downwards and I'm iffy on the bottom here (there's strangely a divergence on the 4 hr and weekly chart but not on the daily? Weird).
SPYder_QQQueen_Trading
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@cas34310, I know... I think it's going to be hard to know for certain for quite a while... we can just play what's in front of us just for the day... I'm having a lot of fun with two strategies that i have running right now and I'm making consistent gains intraday... I'm rarely holding overnight because this volatility is just so wild... To be honest, this volatility is making me love day trading again... and it's keeping me on my toes. But i also love that I can sleep at night by returning to (mostly) cash at the end of each trading day... with just a few exceptions (I've been putting on a few yolo overnight strangles that have been working out well)... I hope you have a super fun week trading ☺️
cas34310
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@LadyAmalthea12, Same, I've been swinging weekly puts just scalping the whole month lol (just in stocks mostly staying out of the indexes). But boy did that B wave play out or what??? I need to brush up on my Elliot Wave now...
SPYder_QQQueen_Trading
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@cas34310, You absolutely nailed it, my friend!!! Big time!!! Mad props... that was one of the best calls I've seen in a long time!!! I don't use elliot waves all too much but it's such a technical treat when you see one play out so perfectly!!! I'm going to bed... but MAN i'm so excited for tomorrow 🤓💃🏻