DigiNomad, there are momentum indicators and oscillation based indicators. For trending moves, momentum based indicators are most suitable. An example of a momentum based indicator is MACD and MACD histogram. A good momentum indicator will stay put for the duration of the trend. Some indicators are faster than others. Momentum indicators work well on 30-minute charts and longer. For day trading,  momentum indicators are very specialized and based on volume rather than price or on alignment of multiple time frames. A bear flag will not work on 5-minute chart if the 30-minute chart is bullish, etc. FWIW.

USD usually bottoms in January. This year the seasonality is not going to work, IMO. That is, no retrace for gold, just a consolidation, a squeeze, and a move up again.

For /ES, it is 3900. The closing basis matters, not intraday.

If /NQ loses 11181-ish (its 21EMA), the bullish case is out of the picture.

brophy, could you mention your trades from yesterday if you did any after a reversal in the morning? I wanted to sell a credit spread out of the money (0DTE or with Friday expiry) but did not get to do that. I should have observed multiple bear flags as continuation patterns, which were places to sell a credit spread with a well defined risk.

For a trend move a call spread is used (a call is bought and sold with the same expiry). For a consolidation move or a squeeze a put spread is used to sell premium in order to buy it cheaper. FWIW.

With credit spreads you make money in 2 out of 3 cases: sideways or in the direction, while with debit spreads only in one case: in your direction. With credit spreads your risk is not capped, while with debit spreads you cannot lose more than the amount paid.

I am interested in synthetic options that mimic futures without a loss of premium due to time decay. I am going to protect my SPY puts with spreads till a reversal occurs.

/NQ should at least approach 11410 before reversing. A crazy option would be to go down to 11200.

200 simple MA on the daily charts keeps bear market rallies in check. There is no surprise here.

Is anyone here trading put credit spreads instead of SPY or SSO shares to control for time decay? Does anyone use synthetic options for the same purpose? I am curious.

The measured target of 3930 on SPX has been hit.

it seems like a confirmation! I am keeping my SPY puts into tomorrow then :-)

Thanks, Matt! Matt's or Steve's EW count is shown below:

Matt, has your 60-minute BPT_MA_Deluxe indicator turned red? Based on the looks of the charts of /NQ (QQQ), this move could continue tomorrow.

Edit: my momentum indicators on 1-hour and 4-hour charts suggest more time before a reversal.

TLT is not supporting this drop so far: https://stockcharts.com/h-sc/ui?s=TLT&p=60&yr=0&mn=1&dy=15&id=p12324146428&a=378016232&listNum=51&cmd=print

My bounce target is 3992 on /ES.

I am expecting a bounce from this area, 3973 on /ES. I covered 1/2 of my short position here.

Edit: 3932 as daily EMA(21) is still my target for the overall  corrective move down. It corresponds to the measured move from the bearish falling wedge that Steve drew, at about 3930 on SPX.

I find it hard to be fighting a trend near reversal points. I can only do it with index options now. A long official trade would have gone a long way to rebalance that discomfort, IMHO.

Professional money managers do it this way, yet they have much large accounts.

Dk, a likely target is 3930 on /es. So, yes.

PS. A solution to many systems at the close is automated notification via a text message depending on a subscribed subsystem and automated execution of orders. Tradestation is likely not a proper platform for that kind of systems. FWIW.