Can Bulls Keep the Rally Going? How I Traded Today & Plan for 4/14/23

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Market Recap: Yesterday SPX broke below the 1hr 50sma for the first time in two weeks. Although notable, I wrote, “At the close today we are trading below the 50sma on both the 1hr and 30min SPX charts. But not so fast. We still have PPI tomorrow morning”. It was important to carry no bias from yesterday into today given that economic data has the ability to move markets and quickly shift the narrative. I came into today’s session with no position, looking for two setups that could potentially present themselves. One bullish and one bearish. I got my bullish setup which resulted in a great winning trade which I talk about further down in the post.

In regard to The System, we were able to reclaim the 50sma on the 1hr SPX chart, putting bulls right back in control resulting in a 50 point move higher. We also reclaimed the 50sma on the 30min SPX. The best moves come when both charts are telling the same story. On the reclaim of the 1hr 50sma, it became clear that bulls were regaining control, but it is of course impossible to know just how far a move will run. This is why I look for a 10-15 point move, then leave runners in the case that we get a rare trend day like we saw today.

My Trading:

(Note: All trades mentioned below were alerted live in the Kane Capital discord where we are currently offering a 7-Day FREE Trial. For live trading alerts you can head over to kane-capital.com)