The Official Options Thread

[Blazed]

Took the 5670 break, all out @ 5651 ATR - level to level

Now waiting on 570 SPY > 5700 SPX if it can get there today.

[lane121]

Nothing yet. I was pretty much waiting for 5700 or 5600.

[Blazed]

Crazy candles.

[Blazed]

They wouldn't give a solid level.

Only took the one trade above today.

Back at it tomorrow.

[Blazed]

Nice pump this morning. Apparently crisis level rate cuts are short term bullish lol.

This is where the MM’s are setting up to give the average investors the okey-doke.

SPX: 5700 / 5600

Other s/r: 5670 / 5650/52


Watching:

SPY: starting put swing today - March exp for time - I could sell next Friday or in Nov. in this market time is your friend.

Bounces @568.6 (hr) > 566-566.5 (hp)

Market had a huge gap up so I expect some nice movement today.

[Blazed]

Originally Posted by Blazed

Took a light size of AAPL calls down here 2 weeks out for the AAPL event.

High risk because it's AAPL and the last event bombed.

Originally Posted by Blazed

Still in these. Probably cut Friday if AAPL gets to 224 resistance area.

All out here, shot past my 224 pt. This pump saved my calls, thought I was going to have to eat em.

Thanks Powell.

[Blazed]

Originally Posted by Blazed

SPY: starting put swing today - March exp for time - I could sell next Friday or in Nov. in this market time is your friend.

In here @ pre-market highs -SPY250331P570

[lane121]

What/when I traded:

3 SPY 565P contracts @ 9:51 (or 8:51 cst)

3 SPX 5705C contracts @ 9:59 (or 8:59 cst)

Thought process and reason for entering trade:

First trade- Break+retest of 5700 with volume red and trend neutral at the time. It also looked like flow was selling (I may just be having some difficulties interpreting flow though and the difference between a clear signal from a mixed one).

Second trade- Looking for a re-entry and figured I was wrong on the first trade. Got a break+retest of 5700 with volume confirming.

Exit plan:

First trade- Cut at break above of 5691 ATR and volume flipping to buyers

Second trade - Cut at break below of 5691 ATR or trim around 10pts then sell the last contract around 20pts

Where I sold:

First trade - I sold all 3 contracts for a loss today at the break of the 5691 ATR and volume flipping to buyers on the candle. Loss on this trade $99.

Second trade- Trimmed 2 around 5708 resistance and sold the last one when we broke below 5720.

First trade- Lost on a similar trade to this one the other day, but I took around a 50% less loss this time getting out when I no longer liked what I was seeing. This time I waited until the beginning of a new candle though until the end of another one.

Total gain for the day $991

[Blazed]

Originally Posted by lane121

What/when I traded:

3 SPY 565P contracts @ 9:51 (or 8:51 cst)

3 SPX 5705C contracts @ 9:59 (or 8:59 cst)

Thought process and reason for entering trade:

First trade- Break+retest of 5700 with volume red and trend neutral at the time. It also looked like flow was selling (I may just be having some difficulties interpreting flow though and the difference between a clear signal from a mixed one).

Second trade- Looking for a re-entry and figured I was wrong on the first trade. Got a break+retest of 5700 with volume confirming.

Exit plan:

First trade- Cut at break above of 5691 ATR and volume flipping to buyers

Second trade - Cut at break below of 5691 ATR or trim around 10pts then sell the last contract around 20pts

Where I sold:

First trade - I sold all 3 contracts for a loss today at the break of the 5691 ATR and volume flipping to buyers on the candle. Loss on this trade $99.

Second trade- Trimmed 2 around 5708 resistance and sold the last one when we broke below 5720.

First trade- Lost on a similar trade to this one the other day, but I took around a 50% less loss this time getting out when I no longer liked what I was seeing. This time I waited until the beginning of a new candle though until the end of another one.

Total gain for the day $991

Awesome SPX trade.

It's a mix of hedging and taking profits here, so usually flow @ ATH's will flip flop, it will correct itself and normalize after ATH's are digested.

The SPY trade of 565p? Was that a typo or you just went OTM on them? Lowest we've been today is 568.

[lane121]

Originally Posted by Blazed

Awesome SPX trade.

It's a mix of hedging and taking profits here, so usually flow @ ATH's will flip flop, it will correct itself and normalize after ATH's are digested.

The SPY trade of 565p? Was that a typo or you just went OTM on them? Lowest we've been today is 568.

That makes a lot of sense and it'll definitely be good to keep in mind @ ATH's. Thanks Blazed!

That was just a typo on the puts too lol. It was meant to be 569P.

[Blazed]

Caught a nice algo sell off to end the day.




OPEX (quad witching) tomorrow.

Next week will be fun.

Check out the MM's positioning lol.

[lane121]

Key level 5700, top 5750 (5725/5740 resistance), bottom 5650

Also watching SPX 5670 and SPY premarket high (569.15 area)

[Blazed]

It's another quad witching OPEX, which means A+ only.

The big level for the day is 5700.


SPX: 5733 / 5700 / 5669


Watching:

SPY: reject @ 572-572.8 & bounce @ 566-566.5

TSLA: Bounce @ 1hr 21ema

Be patient, look for confirmations, and only trade your levels. Flow and volume might not align today, ignore both in that case and just trade levels.

Expect games to be played.

[lane121]

Hmm yep, volume and flow seem to want to do the opposite it looks like.

[Blazed]

Originally Posted by Blazed

It's another quad witching OPEX, which means A+ only.

The big level for the day is 5700.


SPX: 5733 / 5700 / 5669


Watching:

SPY: reject @ 572-572.8 & bounce @ 566-566.5

TSLA: Bounce @ 1hr 21ema

Be patient, look for confirmations, and only trade your levels. Flow and volume might not align today, ignore both in that case and just trade levels.

Expect games to be played.

The big level for the day is 5700✅- trimmed - stop is a close above 5700 on the 5m. The 5693 ATR should slow it down.

[lane121]

Looks like we bounced yesterday's low

[Blazed]

Originally Posted by Blazed

It's another quad witching OPEX, which means A+ only.

The big level for the day is 5700.


SPX: 5733 / 5700 / 5669


Watching:

SPY: reject @ 572-572.8 & bounce @ 566-566.5

TSLA: Bounce @ 1hr 21ema

Be patient, look for confirmations, and only trade your levels. Flow and volume might not align today, ignore both in that case and just trade levels.

Expect games to be played.

SPY: bounce @ 566-566.5✅- bounced the ATR for a 1 point move back to VWAP

[lane121]

Nothing yet for me. A lot of chop right now and I've seen days like this before where the seller/buyer candles just mimic each other.

[Blazed]

Yeah, they're chopping premiums up. I got a good entry so I'm still good.

5693 ATR is holding so stop is still @ close above 5700

Last OPEX they held the move until after lunch on the east coast if I remember right.

[lane121]

Blazed, what made you want to look at the retest of 5700 instead of the ATR below? I stepped away for a couple minutes and missed the move down to yesterdays low, but I would have been looking at the ATR for a retest for entry instead (around 3-4 pts from the whole psych so it represented a "weaker" area of s/r). And, would you recommend looking for entry at the whole psych rather than the ATR in the future with those two areas being so close?

If I was able to get in today my thought process would have been to get in at the ATR, then I would have sold two contracts around that 10 pt move to yesterday's low, then I would have had to move my last contract deeper into profits and I would have been stopped out, so I would have completely missed out on the next drop. Just wondering if I need to adjust my thought process moving forward for those types of setups, thanks!

[lane121]

Originally Posted by Blazed

Yeah, they're chopping premiums up. I got a good entry so I'm still good.

5693 ATR is holding so stop is still @ close above 5700

Last OPEX they held the move until after lunch on the east coast if I remember right.

I'm pretty sure I got caught up in that chop last time too lol.

[Blazed]

Originally Posted by Blazed

The big level for the day is 5700✅- trimmed - stop is a close above 5700 on the 5m. The 5693 ATR should slow it down.

Trimmed. 3 runners left. Stop out still @ close above 5700.

[Blazed]

Originally Posted by lane121

Blazed, what made you want to look at the retest of 5700 instead of the ATR below? I stepped away for a couple minutes and missed the move down to yesterdays low, but I would have been looking at the ATR for a retest for entry instead (around 3-4 pts from the whole psych so it represented a "weaker" area of s/r). And, would you recommend looking for entry at the whole psych rather than the ATR in the future with those two areas being so close?

Reason:

Originally Posted by Blazed

The big level for the day is 5700.

5700 should act like a magnet today. A break below will be difficult to get back above. Need some serious volume @ 5700 to break back above.

Originally Posted by lane121

If I was able to get in today my thought process would have been to get in at the ATR, then I would have sold two contracts around that 10 pt move to yesterday's low, then I would have had to move my last contract deeper into profits and I would have been stopped out, so I would have completely missed out on the next drop. Just wondering if I need to adjust my thought process moving forward for those types of setups, thanks!

Why enter @ ATR? You would have left money on the table and 5700 is the solid S/R - ATR would be a safety net or a trim spot.

Entry was 5700 > stop would be 5706/07 as that was a support level yesterday. Then you have the 5712 ATR above that.

[lane121]

Originally Posted by Blazed

Reason:



5700 should act like a magnet today. A break below will be difficult to get back above. Need some serious volume @ 5700 to break back above.


Why enter @ ATR? You would have left money on the table and 5700 is the solid S/R - ATR would be a safety net or a trim spot.

Entry was 5700 > stop would be 5706/07 as that was a support level yesterday. Then you have the 5712 ATR above that.

Thanks Blazed! That makes sense. My thought process at the time was that I would now have 2 levels of support if I got in at the break+retest of the 5696 ATR (even though 5696 is a weak one, so it would represent a weaker resistance too). I see now how it would leave a lot of money on the table though. I just had it in my head wrong.

[Blazed]

Originally Posted by lane121

Thanks Blazed! That makes sense. My thought process at the time was that I would now have 2 levels of support if I got in at the break+retest of the 5696 ATR (even though 5696 is a weak one, so it would represent a weaker resistance too). I see now how it would leave a lot of money on the table though. I just had it in my head wrong.

I see. You had the right idea just used the wrong levels. By wrong levels, I mean looking below instead of above. You'd still have 2 levels of support, but you'd want to try and enter @ XX00. If you missed that entry, then wait for next opportunity (ATR in this case) but entering at the ATR would have got you chopped up today.

This is what I have. Entry @ 5700 > 5706/07 > then the 5712 ATR (last close) if I wanted to let it play out longer since it's OPEX. But usually a 5/6 point stop is fine.