Market Overview
The SPY is going for its 4th straight close above the 21 EMA and the stack is still intact with the 8 sitting just above at 766.34. Price has been chopping in a tight range the last few sessions but it’s holding the 21 at 763.69, which is what you want to see. The 50 day at 752.88 is well below and the 200 at 706.42 is a distant memory, so the bigger trend is not in question. VIX at 15.4 keeps things calm. As long as we keep closing above the 21, buyers stay in control - the 8 EMA is the level to watch for any near-term wobble.
Top Setups — 2 Signals
MRK — BULL · MEGA
Calls Bought · Strike: 155.0 · Exp: Dec26 · 1000 contracts · $1.2M
MRK is in a clean uptrend with price at 153.37, riding well above the 8 EMA at 148.65 and miles over the 21 at 140.33. Weekly structure is stacked with higher highs and higher lows and it’s above every major moving average. The flow is institutional call buying out in Dec, 1000 contracts of the 155 line for over a million in premium - a straight bet this keeps grinding. It’s extended above the 21 so don’t wait on it, the 8 EMA is your closer reference for support.
