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Today's Signal YELLOW LIGHT |
I am sticking with yellow today as we near resistance in both the S&P 500 futures and the QQQs.
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, October 28 · via Licia Leslie
| Level | S&P FUT |
| Resistance 2 (50-day MA) | 7,800.00 |
| Resistance 1 | 7,780.63 |
| Premarket Price | 7,776.00 |
| Support 1 | 7,736.30 |
| Support 2 | 7,685.75 |
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We need to clear the 20 day moving average to trade $7800 which is where we stopped last week.
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
+256%
An SPX 7,725 call that expired Tuesday, October 27 opened at $4.30. By the high of the day it traded at $15.30, a $1,100 gain per contract (256%) for traders who caught the move.
Volume Anomaly
SPX 0DTE Volume: 3.2M Contracts
0DTE SPX volume on Tuesday, October 27 came in at 3.2M contracts, roughly 1% above the 20-day average of 3.1M. Call and put activity were roughly balanced, with 1.6M calls vs 1.6M puts. The heaviest call volume concentrated at the 7,730, 7,725, 7,720 strikes. On the put side, the 7,720, 7,715, 7,700 strikes saw the most action. The put/call ratio finished at 0.96, a fairly neutral read from the options market.
Editor's Note
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Licia Leslie 0DTE Analyst, Option Pit |
SMH is looking strong this morning which could bring the market higher. Watch $7800 on the futures as that is where we stopped out last week and the 50 day moving average on the QQQs. We clear those levels then we continue higher.
Yesterday's Close
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SPX 7,722.60 +0.60% |
VIX 17.52 -4.73% |
SPY 769.66 +0.56% |
QQQ 721.25 +1.27% |