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Good morning, everyone. Today is Tuesday, September 22nd, and yesterday we came off an absolutely stellar trade plan, where we called a breakout pivot above the 7753.50 Daily that led to an absolute squeeze, taking the S&P 500 futures all the way to new all-time highs. We called new all-time highs on Sunday, and on Monday the market delivered with a massive 130-point rally. Just a spectacular display of trade plan amazingness.
We also had SPX aligned perfectly for us, with the open above 7691.76 — our massive resistance area. Opening above this was a green light for the Bulls to absolutely hit the gas, and they did. Yesterday was a difficult day to get on this trade, but congratulations to anyone who took advantage of this massive move and profited. I know many members in the Team Vici Discord were fat with profits yesterday — or should I say, fat with points.
As we come into the morning, the indices have based sideways since yesterday’s massive push higher, keeping us in a tight 33-point range in the overnight session. We did have one swift push down overnight that brought us directly into our significant Daily at 7809.75 for an almost absolutely perfect touch, sending us right back up into balance and keeping us directly located with yesterday’s Point of Control at 7833.00. As price continues to base sideways, it certainly looks like we could have more up in store.
A Note on Today’s Market:
News: No Red Tag news to speak of, but we do have President Trump speaking at 9:55 a.m. Even though this is not a Red Tag event, we always must be careful with President Trump on the microphone, as he is known to say anything at any time. Keep an eye on the market for volatility around 10:00 a.m. Eastern.
Volume: Relative Volume is exceptionally high this morning at positive 62%. That seems exceptionally high for a non-Red Tag news day, especially as we are once again sitting less than 10 points from the all-time highs. If this is in fact a true number we can rely on, it could potentially expand our range to 79.5 points above or below the overnight highs or lows.
Range: Expected range of 86.5 points. We have currently moved 33.25 points in the overnight range, leaving us approximately 53.25 points above or below the overnight highs or lows. Either way we look at this, we could expect a true range today of around 86 points, with a little possible extension as long as relative volume stays elevated.
Gamma: We are currently in Negative Gamma, as the gamma flip level sits at 7845 — literally 7 points directly above our heads, acting as resistance. This will be a major tipping point for the indices. If price pushes above this gamma flip level, which is located extremely close to yesterday’s value area high, dealers have to switch from a short-side position to a long-side position — and due to their size, as they unwind their shorts into longs, it could squeeze the market much higher back into price discovery mode.
Trend: Up on all time frames. That includes both SPX and ES — we are pointed up on the Weekly, Daily, 4-Hour, and 1-Hour. We made a new all-time high yesterday and were able to hold this upper range in the overnight session, securing the Bulls’ move and aligning us to look for more up.
🧠 Current Market Context
Weekly to Weekly, and Now Buy-the-Dip Only
Everything we talked about over the weekend and in the post-market breakdowns has come true almost to the letter. We made an unexpected all-time high yesterday after a massive squeeze, and we have now shifted our time frames to being pointed up on everything, on both ES and SPX — the exact alignment we were looking for in our Weekend Review.
That tells us one thing: we are looking for buys. We have very limited buys, but they are high quality. And the most important level on the map today is the 7800 area. The 7800.75 Weekly, the 7799.25 4-Hour, and a big shelf on the Weekly TPO at 7800 all tell me we have a serious momentum shift underneath this level. As long as we hold above 7800, we will continue to drift to the upside without question.
We also know that ES made an all-time high yesterday, but SPX has not. More than likely we will look for that prophecy to be fulfilled, as SPX wants to catch up. We just never know in what fashion or in what order price will get there.
