Most people dont understand how powerful gamma exposure is.
Comment 'FREE' and I'll send you a 7 day free trial to the gamma map platform I use every single day (I talked to the owner)
If you want to stop blowing your trading accounts and become a consistently profitable trader, learn gamma exposure!
Learn how to read GEX.
It shows you exactly where dealers are forced to buy and sell before the market opens. Positive gamma pins price. Negative gamma sends it.
The platform I use to read it is @ITMatrixHQ
It’s usually $149/mo but if you comment the word FREE I’ll send you a 7 day free trial.
Didn't take any trades today but that doesn't mean there weren't opportunities. Range traders had a field day. Kept myself out of the market while no A+ setup presented itself. Cash is always a position. Here's my view on the market today:
SPY opened with a gap down today now trading between the 21 and 50 EMAs. This is not an ideal environment for me as it often leads to range bound action and less follow through on breakouts and breakdowns. The market continues to set up for higher soon. Protecting capital should always be your main focus in harder trading environments.
The gamma map gave us the two major levels we would be floating between today. By 10 am the levels showing major gamma concentration were 740 and 735. It was no surprise that SPY continued to bounce between them using them as support and resistance.
Here's the reason for this:
In a negative gamma environment, market makers and dealers are net short gamma. This makes their hedging pro cyclical; they are forced to buy shares as price of the underlying rallies and sell shares as price of the underlying dips. Large clusters of negative gamma walls act as potential support to resistance flip zones. A big negative gamma wall from below can act as support if dealers who are hedging short puts buy the dip. This creates temporary buying pressure that can bounce price. A large negative gamma wall from above can acts as resistance if hedging flows push against the move. Price action at these levels is driven by massive delta hedging from dealers.
At the end of the day, you MUST understand that the market will always give you another opportunity. You don't need to catch every move; you just need to catch the right moves with proper risk. Forcing trades on an average setup is where accounts go to die. Trust your process and the results will follow.
The gamma map gave you the major levels today; all you had to do was execute your process. Time to level up and add gamma to your trading toolbox. Comment 'gex' and I will send you the exact trade confirmation checklist I run before every trade entry - gamma levels included. @ITMatrixHQ
Stop letting volatility scare you, learn to profit from it.
10 years of trading, this is what I know:
• VIX under 20 → sell puts normally
• VIX above 20 → sell puts aggressively
• VIX above 30 → buy LEAPs
• VIX above 40 → go all in
• VIX above 50 → generational opportunity
Fear is just premium waiting to be collected.