SPY at critical price level

We are now at the $125 price area. This is an important area to trade as it provides a favorable risk/reward ratio for trading. Given the circumstances at the moment. We still are above $125 and volume would suggest that support is coming into the market. At this point a long position should be initiated to take advantage of a possible bounce. Another scenario that my unfold could be consolidation at the $125 price level, and the market could break down BELOW $125 on high volume. At this point you should initiate a short position and downside movement could continue. In the course a series of trades you WILL always make money if you use risk management and a good stop loss strategy as no individual trades outcome can be predicted.

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