A Day of Gaps - What to Expect?
Daily Levels for SPX, the Magnificent Seven, and Space X (SPCX)
The market saw a bullish breakout today fueled by geopolitical headlines. While Friday’s price action ended on a weak note, the use of levels to assess scenarios is working well. I mapped out in the Weekly Compass that an opening above 7417 would be bullish targeting 7,530; the price closed today at 7,554 🎯.
“The SPX begins the week weak around its Central Daily Level (CDL) of 7,417. If there are no major negative headlines during these days, reaching 7,530.5.” The publication is here:
Not only did the market avoid negative headlines, but it caught a powerful tailwind from positive updates regarding a potential peace agreement in Iran.
As also detailed in the Weekly Compass, the Magnificent Seven were likely to bounce. That is what materialized today, led by our High-Probability Setups: MSFT (+2.3%), GOOG (+2.5%), META (+4.8%), and AMZN (+3.1%) 🎯.
IBIT also rallied as expected 🎯, matching the precise technical analysis from last weekend, which caught the bottom for Bitcoin by identifying an asymmetric risk-to-reward profile for buyers using well explained technical indicators.
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Today was a day full of gaps, what does it mean?
The analysis is here, including the essential levels to monitor for the SPX and all the magnificent 7 since AAPL, TSLA and NVDA also were constructive today, but all of them with gaps.
Let’s assess the key levels for tomorrow and the rest of the week, including SpaceX (SPCX). As outlined in the levels posted yesterday, the asset remained bullish above 162.0, targeting 175 and 189. In fact, 175 was hit before noon, and after hours of consolidation, the price continued its upward expansion to close the day at 192, slightly above our extended 189 target 🎯.
I must emphasize: the levels I provide are not arbitrary diagonals or gut-feeling lines. They are mathematically anticipated based on exactly where institutional algorithms react, as our paid subscribers have witnessed firsthand for over two years at SmartReversals.com. Having the levels ahead of time help you to plan your trades with proper targets and risk management.