Daily Plan 4/26/23
Traders-
The key level for today was 4160 with the expectation that as long as we remained below 4160, we could test 4130.
This was the case overnight as we tested 4130 and were about to open near 4150 when I sent the below update on my Twitter.
This I think was an excellent update - we really did not trade a single lot above this level after I posted my levels and we sold down some 50 handles below to 4100!
It is here that I sent another update for the Stack subscribers. See below.
This was about an hour before the close and an hour before the MSFT and GOOG earnings where GOOG announced a massive 80 billion dollars buyback.
This was hours before the fact that S&P500 Emini will carve out a low exactly at this level before a massive rally into the close.
This brings us to the question, what made me become bearish at the open when I knew (and you knew!) that this 4130 had been at the low of the range for over 10 days now? What was the key insight that made me call 4100 as possible, BEFORE the opening, not in hindsight? Read on to find out. Plus my views on the most recent MSFT and GOOG earnings.