Good traders pick their spots.  Some opportunities allow us to be more aggressive than others.  When we spot one of these opportunities we pounce, like a baseball player who takes a healthy cut a 3 and 1 fastball.  If we fail to pounce then in our journals we must detail this opportunity so the next time we do.

During our SMB AM Meetingwe identified 109.80 and 108.80 as important levels in SPY.  Knowing these levels provided us an edge intraday today.  The market stopped trading lower on the Open right at the 108.80 level.  Was Mother Market listening to our AM Meeting?  And then later stocks had trouble trading higher until we clearly held above SPY 109.80.  In reviewing my work there was an opportunity today where I could have been most aggressive.  Let’s discuss.

Bear with me as I set the stage.  SPY found support at 108.80.  Then SPY popped to 109.10ish.  The pullback is the tell.  Would SPY pullback to 108.80 or would it show more strength into the pullback?  It showed more strength.

SPY found support at 108.90, a higher low (more strength), then spiked to 109.20.  So the pullback was shallower than I expected and the spike was more explosive than anticipated.  Now we had a market that was starting an uptrend.  And SPY’s next level was not until 109.80 so we had a lot of room to run.  When SPY held this 190.20 this was our opportunity to be most aggressive as intraday traders.

The strongest stock I was watching intraday at SPY 109.20 was CAT.  So I bought some more.  I should have bought even more than I did.  The market showed us her cards.  I had a safe level to add size in CAT at 56.30 (out below 19c).  This was my time to be most aggressive.

The market has room to run until resistance at 109.80.  CAT was above a level at 55 and acting well intraday.  A safe level to enter was offered in CAT.  Add this all up and this was my opportunity to be most aggressive today.

When can you be most aggressive with your trading?

Best of luck with your trading!