Daily Plan 7.25.24
Welcome back everyone!
Today was a great session based on the futures and stock levels, but unfortunately, earnings were missed. First, I will cover the earnings, as some folks like to say I do not cover the losers.
Just before the close, I called out puts on both IBM and CMG. After the earnings were released, both stocks rallied, but CMG reversed the entire rally and is set to open lower tomorrow. The puts called out will see a strong move downward unless CMG crashes at tomorrow's open. Now that earnings are behind us, we can highlight exactly what worked today and left us on top.
Intraday levels are posted every single session and are the main influence on prices in the next session. Tonight's levels will be watched tomorrow. Last night's levels brought strong selling on both the Emini and Nasdaq, which were able to reach the short targets. Selling started just before the open, providing plenty of downside to capitalize on. Here are the charts for both indices:
Turning to stocks, we will once again focus on the levels posted last night. As many traders look forward to the chat, this is what comes first. Nearly all the levels posted last night brought significant moves.
Every single stock with levels saw sharp selling from the short level. Ideally, when approaching these setups, you use options, as common stocks require you to allocate much more of your account per trade. Each day, you will see large moves from these levels unless the Emini and Nasdaq experience little to no volatility, in which case there is nothing to do. Here are the charts from today's levels for stocks:
Now I want to leave my thoughts on GDP which is due tomorrow.