From Bull Loss to Bear Win: SPX Swings Recovers

Wednesday’s bullish swing kicked off cleanly. Pulse bar confirmed, credit received ($7), vertical spread placed. So far, so typical.

But by early afternoon, my hedge alert fired. The chart showed a sharp move through the bearish action trigger. I took a leisurely stroll back to the desk… and saw the kind of red candle you don’t ignore.

Rather than hedge, I shut down the bull swing for $9 – a 26.9% partial loss. Max risk was never threatened, and closing early saved exposure. The system gives us flexibility. That’s the beauty of the BWB.

Next challenge: getting the bear trade filled.

At first, fills were chaos – the spread was jumping like a jelly bean. I went with a quick long put (1-DTE) just to get my toe in. Then – ding – got the vertical filled too. Of course, with a sigh, both could’ve gone on fine with a little more patience.

But the point is: plan, adapt, execute.

The bear overnight trade collected $3 and was bought back for 30c on Thursday as prices drifted. That’s a 90% roc.

Later that session, with no bullish pulse bars, I added a 7-DTE swing and a fresh 1-DTE bear trade – both collected $3 each.

Friday? SPY 10-lot taken on Wednesday and assigned on Thursday close. Overnight futures dropped. At the open, SPY popped, then dropped. Textbook.

Result:

• SPY trade closed for 200% roc

• SPX overnight trade Wed/Thur both closed for 90% roc x2

• 7-DTE swing still live into the weekend

All while walking the beach with Mrs N, Friday sun, and a long weekend ahead.

CHARTS with broker statements to follow as usual…