Good morning, traders!
SPY closed at 687.45 yesterday – an educational case study of what happens when smart money distribution warnings play out. We’re now sitting BELOW the flip at 688.3 with massive put walls overhead.
EDUCATIONAL REMINDER: These levels are teaching tools to help you understand market structure and positioning. All trading decisions are your own.
📚 LEARNING POINT: Yesterday we warned about smart money selling into strength. Today, price is below flip. Study this pattern. Read the full breakdown here
KEY LEVELS TO STUDY
🟢 RESISTANCE ZONES TO WATCH:
- 690 – Upper resistance
- 689 – Max Pain / MASSIVE put wall (311M, -263M puts!)
- 688.3 – Flip zone (critical pivot)
- 688 – HUGE resistance (320.9M, -261.9M puts!)
📍 CURRENT PRICE: 687.45
🔴 SUPPORT ZONES TO WATCH:
- 687 – Current area
- 685 – First support floor
- 682 – Secondary support
💡 EDUCATIONAL SETUP ANALYSIS
⚠️ TODAY’S TEACHING MOMENT: Notice how we’re sitting BELOW the flip at 688.3. This is bearish territory. Above us are TWO MASSIVE put walls:
- 688: 320.9M positioning with 33,400 puts
- 689: 311M positioning with 33,700 puts
- Combined: 632M in just 2 points!
Bearish Scenario (What to observe): Price is below flip with massive resistance overhead. Both #1 and #2 levels have negative positioning (pointing down). Study how price struggles to break through these put walls.
Bullish Scenario (What to watch for): If price can break and hold ABOVE 688.3 (flip), watch for a move toward 689-690. But notice the massive resistance – this won’t be easy.
The Key Question: Can we reclaim the flip at 688.3? This is THE pivot. Below flip = bearish bias. Above flip = bullish potential.
Study Range: 685-688 (trapped below the giants)
📚 YESTERDAY’S EDUCATIONAL REVIEW
The Lesson: We warned about smart money distribution on Friday. Yesterday (Monday), price rejected from highs exactly as the indicators suggested. Those who studied the PATH SHIFT and V+ alerts learned a valuable lesson.
Read the full analysis: If You Traded SPY/SPX Today, You Might Have Been Breakfast for Smart Money
📊 STUDY POINTS FOR TODAY
- Flip at 688.3 – Notice we’re below it (bearish)
- Massive Put Walls – 688 and 689 have 67,000+ puts combined
- Max Pain at 689 – 1.6 points above (upward pull vs. massive resistance)
- Both major levels pointing DOWN – This typically means harder to trend up
Question to consider: What happens when Max Pain pulls up but put walls push down? Study this conflict.
EDUCATIONAL REMINDER: These levels are teaching tools to help you understand market structure and positioning. All trading decisions are your own.
⚖️ FULL DISCLOSURE
This is not investment advisory. I’m not calling trades. I’m teaching you to think.
Trading futures and options involves substantial risk of loss and is not suitable for all investors. Past performance is not indicative of future results. The IKIGAI Algo and any associated indicators, tools, or educational materials are provided for informational and educational purposes only and do not constitute financial, investment, or trading advice. You should consult with a qualified financial advisor before making any trading decisions. Q Levels and affiliated parties are not registered investment advisors, broker-dealers, or financial planners. By participating in this program, you acknowledge that you are solely responsible for your own trading decisions and any resulting gains or losses. No guarantees of profit or specific results are made or implied. All sales are final. Please trade responsibly and only risk capital you can afford to lose.
— Q Levels Trading | Coffee With Q
Study the levels, think for yourself! ☕📚