S&P 500 Daily Trade Plan: Balancing at Major Resistance & The 6575 Momentum Pivot
A detailed ES & VIX plan for April 7th, breaking down the 6652.50 major resistance ceiling, the 6633.25 midpoint pivot, and the VIX 24.70 above/below.
SCHEDULED NEWS
OPTIONS VOLITILITY LEVELS
Morning everyone. Today is Tuesday, April 7th, and we come off another spectacular day in the trade plan. We called the Daily level at 6575 being our massive level to play at the open on the gap down Sunday, and that level popped us up over ninety points throughout the overnight session and day’s range — only to come up and hold our 6627 Weekly and continue to bounce off of our 6652.50 Daily. As we stayed contained between our two significant levels, trade plan subscribers were able to capture the rotations back and forth for a spectacular day. Congratulations to all those who took advantage.
As we come into the day today, the overnight session has moved 58 points, and price continues to distribute in a sideways fashion right around the same major resistance area. The Previous Weekly Point of Control at 6610 has held us up all night, and we continue to flirt with the 6652.50 area that has been significant since last week. We are currently accepting value here at our major area, but make no mistake — we are into massive resistance, and this spot is a serious make it or break it for the indices.
A Note on Today’s Market:
News: No major Red Tag news events this morning. However, geopolitical headlines with Iran rejecting any temporary ceasefire are likely contributing to elevated volume — continue to monitor for any developments that could create intraday shakes.
Volume: Relative Volume is elevated at +47%, which is quite substantial. Using our relative calculation, we could potentially see approximately 65 points above or below the overnight high or low — plenty of room for a move we can capture.
Range: Expected range of 100 points. We have already moved 58 points in the overnight session, leaving us approximately 42 points above or below the overnight highs or lows.
Gamma: We are still in Negative Gamma territory. Dealers continue to hedge to the downside. Anything can happen and we need to be prepared.
Trend: Downside lean. We have not gained on the 4-Hour, 1-Hour, Daily, or Weekly timeframe — technically we should still be looking down. However, as long as we stay above 6575.75, we are temporarily pointing to the upside. Without a breach of 6652.50, we may traverse to the downside. Keep both directions in mind.
🧠 Current Market Context
Balancing at the Highs of Two Weeks of Value
We continue to balance at the highs of two weeks’ worth of value areas, and we are currently bumping our head on major resistance at 6652.50. This is the same spot that we drew with the large red block in the weekend review — our major spot to get above or below, and it has continued to act as resistance since last week. Price in the overnight session has stayed contained within our significant areas, with the Previous Weekly POC at 6610 holding us up and the 6652.50 area capping us from above. We are distributing in a sideways fashion, and this makes things extremely difficult to pick a direction — but we do know that we are into resistance.
