Best Way to Find Key Levels for SPY Futures

[lloyd80]

What is the best way to find key levels for SPY futures? How do you guys find your futures levels?

[mariobros]

Here is some general level finding advice that I think applies to any ETF or stocks the SPY futures in particular, is included I would imagine.

To find key levels on SPY futures (or any stock), you can use technical analysis tools and indicators to identify support and resistance levels. Here are some steps you can take:

• Identify the trend: Before you can identify key levels, you need to determine the overall trend of the market. You can use chart analysis to identify whether the market is in an uptrend, downtrend, or trading sideways.
• Look for support and resistance levels: Support levels are price levels where buying pressure is strong enough to prevent the price from falling further, while resistance levels are price levels where selling pressure is strong enough to prevent the price from rising further. You can use chart analysis tools like trendlines, moving averages, and Fibonacci retracements to identify support and resistance levels.
• Use volume indicators: Volume indicators can provide additional confirmation of support and resistance levels. High volume levels at a support or resistance level can indicate that the level is significant and could hold or break.
• Monitor news and economic events: News and economic events can have a significant impact on the market and can cause support and resistance levels to break. It's important to monitor news and events that could affect the market and adjust your analysis accordingly.

Keep in mind that technical analysis is not foolproof and should be used in conjunction with other forms of analysis, such as fundamental analysis and market research. Additionally, trading futures can be risky and it's important to have a solid understanding them before investing. Some people have a hard time grasping Futures in general.

[notapro]

Volume Profile is a popular charting technique used by traders to identify key price levels in the market. The technique is based on the idea that price and volume are related, and that volume can help to identify important support and resistance levels.

Volume Profile works by plotting a histogram on the chart that shows the volume traded at different price levels over a specific period of time. The histogram is displayed on the right-hand side of the chart and shows the volume at each price level as a horizontal bar.

Traders can use Volume Profile to identify key levels of support and resistance by looking for areas where there was high volume traded in the past. These areas can indicate where traders have previously placed buy or sell orders, and can therefore act as important price levels in the future.

For example, if a trader sees that there was a high volume of trading activity at a particular price level in the past, they may expect that price level to act as support or resistance in the future, depending on the direction of the market. This can help traders to identify key levels where they may want to place their trades, set their stop losses, or take profits.

I like to use the volume profile to research key levels on the SPY futures.

[franklin76]

Find key levels using volume profile. It is a great way to find your levels, tried and true.