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Today's Signal YELLOW LIGHT |
The market is yoyoing up and down alternating days. Today we are lower with futures topping out at the last two days' highs.
Signal by Licia Leslie
| GREEN: High probability of the market moving higher. |
| YELLOW TODAY: Be cautious when making a directional trade. |
| RED: High likelihood of the market dropping. |
Today's Levels
S&P Futures Key Levels · Wednesday, July 22 · via Licia Leslie
| Level | S&P FUT |
| Resistance 2 (50-day MA) | 7,579.25 |
| Resistance 1 | 7,554.00 |
| Premarket Price | 7,520.25 |
| Support 1 | 7,474.75 |
| Support 2 | 7,417.00 |
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The market will trade sideways today awaiting the major earnings announcements. Our resistance is yesterday's high and our support is the last three days' lows.
How to Use Today's Levels
Red = resistance: watch for price to stall or reverse; a clean break above is bullish.
Green = support: watch for price to hold or bounce; a break below is bearish.
The center row is the premarket reference point for the session. Trade in the direction of today's signal.
The Number
+120%
An SPX 7,495 call that expired Tuesday, July 21 opened at $10.00. By the high of the day it traded at $22.00, a $1,200 gain per contract (120%) for traders who caught the move.
Volume Anomaly
SPX 0DTE Volume: 2.4M Contracts
0DTE SPX volume on Tuesday, July 21 came in at 2.4M contracts, roughly 18% below the 20-day average of 2.9M. Call and put activity were roughly balanced, with 1.1M calls vs 1.2M puts. The heaviest call volume concentrated at the 7,510, 7,515, 7,520 strikes. On the put side, the 7,500, 7,505, 7,510 strikes saw the most action. The put/call ratio finished at 1.09, a fairly neutral read from the options market.
Editor's Note
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Licia Leslie 0DTE Analyst, Option Pit |
The last three days could be bear flagging below our median line. We need a break below $7474.75 to take that next leg lower. We take out the last two days' highs and we trade back up to the median line. The market will probably trade sideways today until we get these major earnings announcements.
Yesterday's Close
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SPX 7,509.20 +0.89% |
VIX 17.05 -8.58% |
SPY 748.28 +0.83% |
QQQ 708.97 +1.85% |