Last Saturday, the Weekly Compass indicated that risk/reward still favored the bulls, but a specific “must-conquer” level was required for continuation. Today, that level was reclaimed with conviction.
The SPX showed resilience this morning. I shared the key levels in the premium chat before the market opened, featuring the ES_F chart holding the 50-DMA.
SPX: $6,823 was the essential daily level separating bullish and bearish conditions. After a bounce at the $6,786 support zone at 9:45 AM, a daily bottom emerged, by 9:50 AM, $6,801 was reclaimed, and by 12:20 PM, the SPX formally turned green, launching toward our high daily target of 6,876.
Price levels function like a staircase when momentum is high, while also serving as a roadmap for anticipating potential reversal zones.
For the QQQ, I shared an example with everyone this morning. While the price sat at 605 in premarket, I highlighted 607.9 as the key recovery line in the best case scenario. Once recovered, the upward move mirrored the broader strength seen across the indices, the close for QQQ was exactly at $617.4, see the upper level in the table posted this morning before the market opened, the high was $617.4.
For this reason I maintain that this modeled S/R levels approach frame price action.
Weekly Compass & The Road Ahead
Beyond the indices, I anticipated on Saturday high probabilities of bullish reversals in specific oversold names, that rallied today: TSLA (+0.99%), V (+1.65%), and PLTR (+3.37%). These stocks are essential to watch now; they appear to be following the same recovery path we previously saw in META and NFLX. Unlock the paid plan and get access to the premium content.
For PLTR, the levels are key, it isn’t “out of the woods” yet, today’s high matched our Annual Level of $134.3 with impressive accuracy. That was the exact high of the session.
Bitcoin is up +3%, a bullish setup anticipated with high conviction. There were other names analyzed such as META, NVDA, AAPL, QQQ, JPM that were resilient today. However, transparency is my priority: momentum could still vanish later this week.
The VIX continues to suggest caution, especially as today’s move occurred on lower volume. This is why Daily Levels are vital. They help swing traders identify early signals of recovery or weakness within the wider weekly and monthly brackets, while providing high-frequency traders with high-conviction scalp targets.
Below are the updated Daily Levels for tomorrow. As a new feature for our premium community, I have also included the Downloadable Weekly Levels File to help you study the overarching structure.
SPX Levels for Tomorrow
SPX is the core index in our publication, and the main ETFs, Magnificent Seven, Megacaps, Metals and Crypto are also analyzed with the same approach: