Trading the SPY - A Day Trader's Diary, Jan 23rd

Hey there, fellow traders! Welcome back to my daily dive into the SPY's market movements. Let's unpack this wild ride we had on Tuesday, January 23rd. Spoiler alert: it was a day that had my adrenaline pumping!

Morning Hype and a Swift Reality Check

Kicking off with the pre-market, things were looking up – literally. The SPY was inching higher, and I was all set for a bullish day ahead. But, as soon as the bell rang, the scene changed. The market took a nosedive, wiping out the pre-market gains. Talk about a reality check!

Hitting the Low - Time for a Comeback

So there we were, watching SPY slide past the pre-market low. It was like watching a suspense thriller. But then, boom! We hit the previous day’s low. For us day traders, that's like a red flag to a bull. I've seen this play out enough times to know it's a ripe moment for a bounce.

The Rebound and the Wait - HomeRun Strategy in Play

True to form, SPY didn't just hit the low; it rebounded with some serious attitude, climbing back above the pre-market low. This was the moment my 'HomeRun Strategy' kicked into gear – a classic ‘catch the falling knife’ moment followed by a strategic wait. Consolidation was the name of the game here, a bit of a breather before the big swing.

Breakout and Ka-Ching!

And then, there it was – the breakout. SPY shot up, charging towards the pre-market high. This is where I had my target set for taking profits. It’s like hitting the bullseye in darts. Watching those numbers hit where you predicted is why I love day trading.

The Numbers Game

Let's zero in on the stats – SPY hit rock bottom at $482.89, then made a comeback to the pre-market low at $483.33. The real climax was reaching a pre-market high of $484.60. These movements are the bread and butter of day trading – it's all about catching these waves at the right moment.

Wrapping Up

In summary, this Tuesday was one heck of a trading day. It was a classic example of how the market can flip on a dime and why keeping a keen eye on those key levels pays off. Made some smart moves, took my profits, and called it a day.Catch you all in the next post. Remember, in day trading, it’s all about timing and guts. Stay sharp!