We caught another strong move today on MNQ, adding roughly $900 to the day — all thanks to a clean read from Gextron.
How We Did It
1. Gextron gave us the daily price target from the bottomThis was the key.
Price came right into that lower target level, reacted, and started showing strength.
2. We took it for the upside once we saw buyers stepping in at the exact level Gextron projected, the bounce played out smoothly.
No guessing. No hesitation.
3. The reaction was textbook price respected the level. Momentum confirmed it. We rode the move up and locked in the profits.
Even though we were trading futures, we still used option premiums to forecast the move.
Watching how the SPY/Qs contracts react at key levels gives us a huge advantage:
- confirms direction
- validates the bounce
- shows where buyers are stepping in
- helps anticipate continuation before the chart fully moves
This is why futures traders who ignore option premiums are trading blind.