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If you’ve been keeping an eye on SPY Daily editions, then you know…

I’ve been on top of my game. Teaching and trading SPDR S&P 500 ETF (SPY) options is the foundation of my career. This is the most powerful fund in the entire world.

If the largest holdings of a fund include Apple (AAPL), Facebook (FB), and Microsoft (MSFT)

Why wouldn’t you want to learn more about trading the heart and soul of the American economy?

Some economic calendar events are more important than others. I love studying economic calendars and sharing my thoughts with members, but certain items can matter more than others as it relates to actually trading real money.

For example, the Federal Reserve increasing or decreasing rates or inflation reports coming in a percent above or below are items that matter to me.

Those can be market-moving catalysts, and as a trader, I better prepare myself for events of this nature.

But not every economic calendar schedule is high-impact, which is what we’re looking at today…

The beauty of what you can do with me is disregarded what might move markets in a green, red, or sideways craze.

What you can do with me is focus on one trade, on one stock, at one time, and that’s exactly why I am sharing my Market Navigator trade of the day thoughts with you.

The top priority I’ll share with you this morning is today’s chart of the day, SPY’s daily chart.

SPY’s Daily Chart

You may notice that SPY is trading just above its 50-day simple moving average line, shown in red on the chart above.

The 50-day simple moving average line is more important than it may sound as oftentimes when SPY is trading above it, Wall Street sees an overall uptrend, leading them to cover short positions.

The best part about this morning’s scan is that SPY is trading just above this level, making it a support level that algorithms could be ready to go on buying sprees off of.

Therefore, as long as SPY holds its 50-day simple moving average line today, I’ll be looking for SPY to trade to the upside – potentially as soon as the opening bell rings.

But ahead of that… I want you to know that we keep a close eye on reader input and feedback. I’m a passionate teacher, trader, and I care about your success. That’s why you’re reading this right now – my goal is to teach you new knowledge ahead of the opening bell.

That said, check your inbox tomorrow at 10 AM ET. As a part of my mission of being dedicated to your success, you’ll see what you’ve been waiting for.

Think simple,

Davis Martin

Author: RagingBull

RagingBull is the foremost trading education website where traders of all skill and experience levels can learn to trade or to become a better trader. Students can learn from experienced stock and options traders, and be alerted to the real money trades these traders make. Become a better trader with RagingBull.com's courses and programs.

In today’s edition of SPY Daily, I’d like to teach you why I apply a commonly overlooked mentality in trading, and how I plan to close out this week’s trading action.

I don’t hold through events such as Federal Reserve announcements or jobs reports… Because I’ve already executed the Market Navigator trade of the day with members while answering questions for the group.

I don’t need to assume a tremendous amount of risk. I don’t want to assume a tremendous amount of risk.

I mean… do you?

Losing money hand over fist in the market doesn’t sound like any fun to me.

That’s why risk management has been a key component of the Market Navigator trade of the day since I founded the strategy many years ago, and I have no complaints about how my trading education has gone since.

Now, let me teach you my plan for today.

While today appears to be a busy day, four out of seven economic calendar events are set to release ahead of the options market opening at 9:30 am ET. The events taking place during market hours are low-impact.

So, I’m not stressing any events on today’s economic calendar as it relates to the trade of the day, but I do see an attractive level to watch on today’s SPDR S&P 500 ETF (SPY) chart of the day.

As displayed by the 60-minute chart below, SPY is trading at a premarket high as I’m typing.

I don’t buy into highs at the opening bell. Why?

A gap-up has already happened. If I were to buy at the opening bell, I’d likely be buying when the overnight bulls are selling, and possibly take a quick stop loss.

So, I look the other way.

Yes, as of right now, I’m looking to trade SPY to the downside if premarket highs hold as a significant gap-up has already taken place. After all, Newton’s third law states “for every action, there is an equal and opposite reaction.”

Straightforward, right?

The best way to access the trade of the day – and learn from me as I trade LIVE with Market Navigator members each morning – is to get in touch with my VIP team.

Here’s how…

Do yourself a favor and dial 410-775-8568 right now.

Let them know you’re interested in the Market Navigator trade of the day.

That will let them know I sent you.

With that in mind, I won’t take up any more of your time…

Call now: 410-775-8568

Think simple,

Davis Martin

Author: RagingBull

RagingBull is the foremost trading education website where traders of all skill and experience levels can learn to trade or to become a better trader. Students can learn from experienced stock and options traders, and be alerted to the real money trades these traders make. Become a better trader with RagingBull.com's courses and programs.

The Federal Reserve is going through a growing split in the committee on whether they should cut interest rates further. The downside risks to the U.S. and global economy have not gone away. However, there have been a series of economic indicators in the U.S. that signal the economy is still growing at a decent pace, given such headwinds.

With FOMC minutes being today’s top economic calendar event, I’m expecting short-term volatility through today’s 2 PM ET event.

With recent market conditions taken into account, I will be preparing both myself and those I teach each day for the possibility of fast, unexpected moves in the SPDR S&P 500 ETF Trust (SPY) today.

I started this morning’s scan with three things in mind.

First, SPY’s 100-day simple moving average line on a daily chart as today’s chart of the day. This is the yellow line displayed on the chart below.

The 100-day simple moving average line has been a great level for determining support and resistance in recent sessions, as SPY has been opening close to it for nine of the past twelve trading days.

This provides me with a clean support or resistance level that I can use to make informed decisions when developing and implementing a trading plan for the Market Navigator trade of the day.

Keep in mind, the Market Navigator trade of the day is not an investment strategy. I am looking for daily SPY option trade ideas every day the market is open, and delivering them thirty minutes ahead of the opening bell.

Second, any given indicator and any given timeframe are essentially worthless without a trading plan. This is something I specify for Market Navigator members every day.

Right now, SPY is trading just below its 100-day simple moving average line, making it a resistance level. I don’t buy calls (or go long) right into resistance levels. So, as long as SPY remains trading below its 100-day simple moving average line resistance at the opening bell, I’ll look for SPY to trade to the downside this morning.

Better yet… Come 2 pm ET when the FOMC minutes are released, I’ll be all cash. This is because I plan and act on my trades of the day right after the opening bell. Doing this allows me to minimize risk through catalysts such as FOMC. It’ll just be another trading day as usual, and I hope it goes well.

Third, and this one is for you, the reader, learning as you’re reading right now… Why SPY?

SPY is the most powerful economic fund in the entire world. If traders are looking for highly liquid stock options each and every day, it would make sense to follow the paper trail, right?

That’s what I do, and that’s what I built the trade of the day around… half a decade ago after struggling to hit the ground running with other trading strategies.

I mean, we’re talking about the SPDR S&P 500 ETF Trust (SPY). There’s big money at stake – every single day.

Narrowing a chaotic market down to one trade, on one stock, at one time, on the most powerful economic fund in the entire world allows me to approach markets with a less is more mentality.

My focus is on simple trading, refinement, improvement, and the development of those I am teaching each day.

I’ve got my eyes on a trade of the day setup that looks appealing right now, so I’m going to jump to the Market Navigator live trading room to potentially execute and teach this trade of the day…

That said, I’ll see you here at 1 pm ET.

Author: RagingBull

RagingBull is the foremost trading education website where traders of all skill and experience levels can learn to trade or to become a better trader. Students can learn from experienced stock and options traders, and be alerted to the real money trades these traders make. Become a better trader with RagingBull.com's courses and programs.