Weekly Outlook & Review
Week of October 23rd, 2023
Good afternoon folks,
Hope you’re all enjoying the weekend. The High-Roller Room is launching in less than two weeks. On launch day, I will be sending out a special discount code to all free subscribers, and an extra special discount code to all paid subscribers. You must be subscribed, as you can only receive it by email. It won’t be visible on this site.
It was an intense, groggy week as bears took over and dropped the market by nearly 200 points. Price action was sloppy and incredibly volatile. Trading in this environment was difficult for bulls and even bears at times (but especially bulls).
Following last week’s prediction, we attempted to break above 4400 before testing 4300. I stated last week that 4300 should be tested to propel the next leg higher, but it was not. This did not end well for bulls, who were over-extended and lacked liquidity. They did not have the structure to break above 4400 without a test of 4300 and hence gave the advantage to the bears. We dropped to 4300 and tested it a few times before piercing lower and relentlessly dropping.
Outlook for Next Week
I trade the S&P 500 index daily and use supply/demand levels as my main strategy. I focus on a handful of core setups within these levels (found here) which typically appear 1-3 times a day. I take one or two trades a day, targeting gains of 10-30 points. My objective is to maintain consistency and leverage it, rather than trying to get as many points as possible.
Our key level this week will be around 4200. We shifted from 4400 to 4300 to 4200 in a matter of days. The downtrend is strong. If bulls want this carnage to stop and a quick bounce, they’d like to see 4200 hold. It doesn’t need to be 4200 exactly, we can break the October lows and still drop 15-20 points. We can bounce and rally back to 4300 easily in this case Bears want to see aggressive selling action on any attempts to bounce, given that we are now in heavily oversold territory. We can see 4140 and lower in this case.
Since we day trade, we don’t have a weekly bias. We reset it every day. We will trade whatever setup presents itself, bear or bull. Trade setups, projections, and intraday levels are found on the paid substack, as well as supply/demand education so you can trade self-sufficiently (subscribe button below).
This is not a precise prediction, just a general outlook of where price action could go next.
That’s all for this week’s outlook. Happy trading :)
Disclaimer: Investing in stocks, bonds, futures, options, and other securities carries significant risks. Some or all capital may be lost. With leveraged instruments, losses may exceed initial capital. Past performance of a security does not guarantee future results. Any content from this newsletter should not be taken as financial or investment advice, but for informational and entertainment purposes only. This newsletter simply shares my personal opinions and notes. Consult with a registered financial/investment professional. This newsletter and its authors are not licensed financial/investment professionals. By reading and using this newsletter, as well as any other publications, you are agreeing to these terms.