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YMI Letter

Issue 14 · September 14, 2026 · Reviewed, then delivered

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Market Takeaway

We stop treating the index print as the signal: trade the semis breakdown with defined risk, own cheap index protection while SPY's one-year IV rank still sits near the bottom fifth of its range, and take the tactical long-bond squeeze as a separate, small, defined-risk bet rather than a change of view on duration.

  • Bias: Short the semis break with defined risk, own cheap index protection into the Fed and quarterly expiry, and treat the long-bond move as tactical, not a duration view.
  • Key level: ES 7,665 fade trigger with the 7,565 expiry magnet below; NQ 29,460 reclaim and 29,180 support; SPY 760 put wall under the 765 call wall.
  • Invalidation: ES closing above 7,700 retires the fade, SOXX reclaiming 521 retires the semis continuation, and an NQ daily close below 29,180 kills the conditional long.
  • Focus: Defined-risk semis continuation, a conditional NQ long on a reclaim only, and a VIX 18/25 call spread as cheap tail into a Fed meeting plus quarterly expiry.
Overview
Indices
Commod.
FX
Rates
SPY757.39-0.46%
QQQ704.54-0.65%
DIA521.23-0.62%
IWM285.14-0.96%
VIX17.20+0.58%
TLT80.71-0.27%

Setups from the current issue

SHORT

SOXX

Semis breakdown continuation

498.85

+0.29%

Setup

Short the sub-sector break. Fails to reclaim 510 on a daily close. Stop on a daily close above 521; targets 490, then 478.

SHORT

ES

Fade into the expiry magnet

Setup

Rejection below ES 7,665 on a close. Stop on a daily close above 7,700; targets 7,610, then 7,565.

LONG

NQ

Long, reclaim only

Setup

Conditional: reclaim and hold NQ 29,460. Stop on a daily close below 29,180; targets 29,700, then 29,850.

LONG

VIX

18/25 call spread into Fed plus expiry

17.20

+0.58%

Setup

Buy the October VIX 18/25 call spread as cheap tail into the Fed decision and quarterly expiry. Premium paid is the risk; pays above 22 by expiry.

LONG

TLT

Squeeze long, tactical

80.71

-0.27%

Setup

Close above 81.50 to engage; stop on a daily close below 80.40; tags 82.50, then 83.20. Tactical, not a duration view.

Chart of the Week

S&P 500 (SPY) — Daily, last 48 sessions

757.39

What you get

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