9:14 am Eastern  - The IWM is screaming. The DJT looked great at the closing bell yesterday. And the SPY is following suit. Those other markets were our leading indicators, as we discussed in yesterday's Game Plan.

For today, price is poised to open right under an important resistance area. The zone between 678.33 and 678.70 is likely to be overhead resistance and give the bulls something to fight to get through. With the overnight rally that we're seeing right now, price will open well above moving averages on most of the short timeframes. This often has the effect of price correction and increased volatility as price tries to stabilize. Expect wide swings today. There are obviously buyers in the market right now, but don't discount the fact that there will be plenty of traders who see this as an opportunity to short what they probably consider an over-extension in a short amount of time. Bullish momentum will probably remain, but there will likely be battle too as pulls in the downward direction are also possible. Basically, just be aware that the result will likely mean increased volatility and than means traders should be careful. It could be a rodeo out there today.

If price gets above the zone, that is good for the bulls for the near term. All the other levels are typical. You might want to give them a lot of wiggle room though. And adjust position size down to reduce risk exposure. Levels can be spiked by a large margin when volatility increases. Trade well, and be careful today.

Trading by the Ticks & Trades Strategy, here is where you would have landed for the day:

Let's talk about SPY 671.56 for a moment. When the regular session opened this morning, price had been on a rally in the premarket. They opened at about 676.39. Over the next 90 minutes or so, price dropped lower and came into one of our levels for the day. That level was 671.56. Almost 50 S&P points lower than where price opened, and when price got down there, that level represented very good support. Price bounced from that level and took off from there. The level was the low for the day.

So, consider that this level was on the board even before the opening bell. And long before price ever got down to that area. And yet, because we were able to read the charts and make an educated guess about where support would be if price fell this morning, we got a good trade today with no drama. In fact, it was very possible to have pulled way more than 4 ES points which is how we define a Base Hit. For what it's worth, I pulled about 8 points on a handful of contracts before taking profit. The main takeaway is that this level, which was identified and provided a long time before price ever got to it, handed over points and dollars for you. That's how we trade.

This was a one Base Hit day, even though price moved a lot more than just 4 ES points. But getting those 4 points was super easy if you had the level and understood the rules. Easy.

Per the rules, a total of 4 ES points for the day.