SPY Trade on May 24, 2021 11:18 from tjmiller2001: Tradervue User Stock Trades.

/ES ripped through 3h supply today and struggled at Daily supply. On SPY, this Daily supply could be found at 419.43.

That level was breached and rejected once around 10:43. Then it was breached and rejected again, although price didn't go as far into supply, making a lower high. This told me that buyers were losing strength.

I got short at roughly 419.37 under 419.43 supply which I concluded would act as resistance. I had a tight stop and a 4:1 RR.

I chose to size down due to my weak trading, I was 0/3 on winning trades so far on this day.

The trade wuickly started working in my favor with 3 red 1m candles, but then price slowly reversed and inched it's way back up to resistance. I could've changed the trading plan and moved my stop to breakeven once I saw 2-3 green 1m candles. I chose not to because my resistance level was holding and the buying pressure was not strong.

At 11:27 price broke through my level with a large green 1m candle. I used to scramble to place a sell order, but now I autofill my orders with set stop losses. SPY is very liquid so this is reasonable, I would be using a mental stop if I was trading something like IEP.

Lesson Learned: The first retest of supply is more likely to produce a rejection than the second. My risk was defined and sizing down was smart but this was not a great opportunity or A+ setup.