by Barrie Einarson

Good morning, traders! Let’s dive into today’s market action, starting with the SPY and how it reacted to this morning’s CPI report. To Subscribe: https://go.trade-ideas.com/SHQ
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At 8:30 AM, the CPI numbers dropped, and the market reacted immediately. The SPY took off like a rocket, surging higher as the positive sentiment spread. It was a strong rally into the market open, and for the first 30-40 minutes, the SPY held steady above the VWAP (Volume Weighted Average Price), a critical level we always keep an eye on.

The VWAP acted as solid support early on, but by around 11:30 AM, the SPY cracked below it. This break could signal a potential fade for the rest of the session, though it’s too early to tell how the day will play out. Watching these levels is crucial, especially on days like this when volatility is heightened.

While there were plenty of individual stocks showing big moves today, many were incredibly volatile, with sharp ups and downs. Instead of focusing on one, I thought it’d be worth highlighting how market-wide data like the CPI can significantly impact broader indices like the SPY.

Numbers like these matter, and today was proof of how they can set the tone for the trading day. Stay sharp, watch your charts, and let the market guide you.

Until next time, trade smart!