5 days of selling! Large overnight dump on Iran/Israel actions. Is it time to buy the dip? Day Trading Ideas for Apr 18
TSM beats and raised guidance, but gaps down. TSLA downgraded to hold with $123 price target by DB. Are stocks in trouble?
Good morning traders!
Let’s talk about the 5 days of selling and technical patterns. We just completed the first 5 day sell program in over 6 months! So if you lost going long, don’t fret. We traded SPY long and short using the levels as a guide and following the THT process.
Now that 5 days of selling has happened, what’s next? How does the Israel retaliation on Iran play out with markets, and what does the overnight action mean?
In today’s blog I’ll go over how we profited from yesterday’s action and in the ideas section I’ll cover how I plan to trade as a result of the overnight price action.
Introduction (for New Readers)
Welcome to my blog on Two Hour Trading, your daily source for market insights and trading opportunities. In this blog, I will provide you with a comprehensive analysis of the market, educational lessons, and trade ideas to help you stay ahead in your trading journey and best of all doing it less than two hours a day.
What Subscribers Get
Subscribers to this blog will receive daily updates on market analysis, educational content, and up to three trade ideas each morning, all based on real-life examples and my personal approach to trading.
NOTE: screenshots from chat are from Edge Trade Planner. A platform available to THT PRO members. Join Us for live commentary and planning. Note my goal is to actively trade less than 2 hours a day finding 1 to 4 great trades a day.
What is Two Hour Trading?
It’s my system for finding and executing trades while spending less than two hours a day trading. My goal is to earn 100-300% on the capital I risk while waiting for 1000%+ gain trades to setup. Key benefits:
High Quality trades with great reward vs risk
Avoid Overtrading and losses from it
Trading to Win vs Trading to Not Lose
Stacking the deck in your favor
2024 Alert Leaderboard
(I’ve decided to include a leaderboard so you can see what potential the 2 Hour Trading System has)
The following is based on entry alerts.
Apr 18 - SPX 5050c - Entry $6 ($6000→$16000 potential)
Apr 18 - SPX 5020p - Entry $4 ($5000→$20000 potential)
Apr 16 - SPX 5140/5135 bull puts - Entry $2.50 ($2500 premium potential) drawdown < $300
Apr 12 - SPX 5100p $1. (dipped to 1.30) - Entry $2 ($2500 premium potential)
Apr 11 - SPX 5180/5185 bear calls - Entry $2.50 ($2500 premium potential)
Apr 10 - SPX 5180/5185 bear calls - Entry $2.50 ($2500 premium potential)
Apr 10 - SPX 5170c - Entry 0.50 ($500 → $5000 potential)
Apr 9 - SPX 5185/5180 bull puts - Entry $3 ($3000 premium potential)
Apr 9 - SPX 5205c - Entry $0.50 ($500→ $6000 potential)
Apr 8 - SPX 5225/5230 bear calls - Entry $1.20 ($1200 premium potential)
Apr 8 - SPX 5200/5195 bear puts - Entry $0.10 ($1000→ $8000 potential)
Apr 4 - SPX 5250p - Entry $4 ($4000→ $100k potential)
Apr 4 - SPX 5180p - Entry $1.30 ($1300 > $32k potential)
Apr 3 - SPX 5175/5170 bull put - Entry $1.50 ($1500 premium potential)
Apr 2 - SPX 5175/5170 bull put - Entry $1.50 ($1500 premium potential)
Apr 2 - SPX 5205/5200 bull put - Entry $1.50 ($1500 premium potential)
**Past Performance is not indicative of future results
For live alerts and market commentary click the button below.
Thursday’s Price Action (Education)
You don't try to make $100,000 ...You don’t start by saying, I’m going to make the biggest most profitable trade and turn $1000 into $100,000 and fix all my bad trades before.
You say, I’m going to plan and execute 1 trade as perfectly as I can today. You do that every single day, and soon you'll have a $100,000 and likely much more!
SPY/SPX
Another consolidation day, overall with 499 heavily defended and bid imho.
We got great long and short opportunities
watching the price action and the reaclaim of the r/g line triggered the following plan
T1 and T2 got hit :)
Then if you see the chart we flipped short one the vwap break around 12:40pm. I alerted 5020p at $5 with $1 risk. These ran to $20!!! on the flush back into 499.
NVDA
I missed the openning dip so I waited for the push and we got failed break out reversal after 10:30. I alerted taking NVDA puts there at 4 and these pushed to 9. Nice clean trade.
Trade Ideas - Plan for Friday Apr 19
Stick to process. The process and trade setups I teach works. Rinse and repeat over and over again. There will be losses. Any good system will have them. Being systematic also means the gains will repeat and come again too. If you keep changing your system/process trying in an effort to never lose a trade, you will never get to where you want to go.
Overall, looking for a gap down reversal trade today. Overnight I told THT members I like /ES long at the lows and sold 70% into this morning’s push. riding the 30% in case I am right and today is the gap down reversal day.
There is a technical pattern where after 5 reds and a gap down, there is a higher probability of a reversal. It doesnt always work, but I will be looking for that pattern.
What about the attack? Well check charts after Russia invaded ukraine, after the initial shock the market rallied. Let’s see if that develops today.
Remember follow the process I teach for level to level trading taking profits along the way and you don’t have to worry as much about what will happen. follow the price action and plan your trades with great risk/reward.
I will be watching SPY, NVDA, NFLX