S&P 500 Daily Trade Plan: Red Tag Volatility & The 6903 Rejection
A detailed ES & VIX plan for Feb 20th, breaking down the GDP/PCE volatility, the 6873.75 Pivot, and the ultimate sweep setups.
SCHEDULED NEWS
OPTIONS VOLITILITY LEVELS
Today is February 20th, it is Friday, and we come off another incredible day in the trade plans. We caught the long sweep at 6857.25 to the tick, which paid our readers well over 40 points as we came into the overnight gap fill. Then Discord members reaped the benefit of a call out of the short at 6893.25 (yesterday’s high), riding that down for well over 40 points. It was an incredible day for the Team VICI crew, and I want to congratulate personally each and every one of you who took advantage of the volatility that we had. We’ve had an incredible week, as the trade plans continue to impress and be on point on a daily basis.
A Note on Today’s Market:
News: Extreme Amount of Red Tag News. This is a wild day. 8:30 AM GDP & PCE (Pre-Market). 9:45 AM Flash Manufacturing & Services PMI. 10:00 AM New Home Sales.
Volume: Relative Volume is -11% to start the morning.
Range: Expected range of 84 points. We have moved 43 points in the overnight, leaving approximately 40 points left (likely to be exceeded due to news).
Gamma: We are in Negative Gamma territory. Expect extreme volatility.
Trend: Downward. We have not gained on the Weekly, Daily, or 4-Hour timeframe.
Context: Overnight price hit the 6903.00 level and smacked down. We are down 10 points from the overnight session but down over 45 points from the overnight high, sitting extremely close to our massive Monthly level at 6857.25.
🧠 Current Market Context
The 6903 Rejection & Downside Bias
Last night in the overnight session, price came up and hit our extremely significant level at 6903.00, which as we all know is the level we were waiting for yesterday. This is a massive spot that, in my opinion, is the difference between more up or down. This smack this morning could be the catalyst for a continued downtrend.
Red Tag Volatility
Today is absolutely not a day to guess. I have not seen this much Red Tag news, especially on a Friday, in a long time. This type of volatility can absolutely disrupt process and market structure. However, given my current bias and lean—knowing what played last night, the fact that we haven’t gained support, and we are in Negative Gamma—I am still very much pointed to the downside unless things change with new information.
