Larry McMillan Says the Damage Isn't Reversed Until One Number Clears

Larry McMillan, who wrote the book most options traders learned from, gives a single line in the sand. Until the S&P closes over 7,700 he doesn't consider the chart damage reversed, because a downtrend line, the 20-day moving average and an old gap all converge right there. Below it, the bears can still do harm. He walks his market internals, including 50 straight sessions of more new lows than new highs, and the VIX spike peak buy signal that fired and runs 22 trading days. 📊 tastylive: https://www.tastylive.com/ 📰 Get Tom's pre-market analysis every morning: https://www.tastylive.com/newsletters 📘 FREE Options Strategy Guide: https://tinyurl.com/bp9ms763 📱 Follow tastylive on X: https://x.com/tastyliveshow Chapters 00:00 Larry McMillan joins the show 00:40 The crucial number on the S&P 01:35 What makes a breakout false 03:04 How much the 200-day matters 03:50 The divergence worth watching 04:42 A trade where you can be wrong 05:41 Reading the market internals 06:51 The VIX spike peak signal 09:34 Is this just a normal correction 11:03 The structures new traders misuse #tastylive #larrymcmillan #sp500 #marketinternals #vix #breadth #putcallratio #equalweight #optionstrading #stockmarket tastylive is a real financial network, producing hours of live programming every day. Follow along as our experts navigate the markets, provide actionable trading insights, and teach you how to trade. With over 120 original segments, and over 25 personalities, we'll help you take your trading to the next level, whether you are new to trading or a seasoned veteran. tastylive content is created, produced, and provided solely by tastylive, Inc. ("tastylive") and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, digital asset, other product, transaction, or investment strategy is suitable for any person. Trading securities, futures products, and digital assets involve risk and may result in a loss greater than the original amount invested. Investment information provided may not be appropriate for all investors and is provided without respect to individual investor financial sophistication, financial situation, investing time horizon or risk tolerance. Options, futures, and futures options are not suitable for all investors. Prior to trading securities, options, futures, or futures options, please read all applicable risk disclosures, including, but not limited to, the Characteristics and Risks of Standardized Options Disclosure and the Futures and Exchange Traded Options Risk Disclosure Statement found at https://tastytrade.com/disclosures/. Past performance is not indicative of future results. Performance is not presented net of all commissions, fees, and expenses. Multi-leg option strategies incur higher transaction costs than single leg trades as they involve multiple commission charges. Examples provided are for illustrative, informational, and educational purposes only and are not intended to be reflective of results you can expect to achieve. Supporting documentation for any claims, including claims made on behalf of options programs), comparisons, statistics, or other technical data, if applicable, will be supplied upon request. tastylive, through its content, financial programming or otherwise, does not provide investment or financial advice or make investment recommendations. tastylive is not a licensed financial adviser, registered investment adviser, or a registered broker-dealer.