Friday, September 9, 2016 was clearly the stand out day of the week, in our day Trading SPX weekly options we had a 725% profit. It was a huge profit day, and one of those days were it was very difficult to know when to exit. We ended up riding it until just before the close of the day for the massive 725% return. Our key levels helped us ride this drop down. But also there was something else today, the 10 period moving average and the 20 period moving average on a 5 minute bar chart. On a day with such downward pressure, these indicators can be very helpful for riding a strong move.

The Power of the Moving Average
You will notice in the chart, the SPX didn’t break the 20 ma until about 2:30 EST. That was a possible exit point for our position, but when the next bar dropped immediately after the open, we continued to hold. It broke it again about 3:30, but we held. Mainly, because it was so late in the day, we anticipated further decline in last hour, we held until just before the close.

The key to another profitable day in our trading, was our SPX Daily Newsletter. Our members received it within the opening minutes of the day. Knowing which way the market is going to move is key to being a profitable trader. We look forward to another exciting week Day Trading SPX Weekly Options.