IWO Trading Floor

Become a Great Options Trader

Full Time Profits, April 24th, 2017 – GS, RUT

By

As of Sunday evening, markets are gapping higher on the back of French election results.

Again, it doesn’t matter what the actual results are, simply that another “speed bump” of uncertainty has gone away.

A gap and hold above 2360 would indicate that it is a catalyst breakout, and given the fact that we haven’t seen a strong move in two months, the trend can easily resolve higher.

If the gap fails miserably and we finish back at Friday’s levels, that will be indicative of a move to 2300.

Trade #1: GS

The stock gapped into support off of earnings. It’s possible that it continues to see some movement to the downside, but this is a good place to initiate some long exposure.

Trade Setup

Expected Price: 215

Sell to Open GS Jun 195/190 Put Spread

Tier 1: Open at 0.60, Close at 0.10

Tier 2: Open at 1.00, Close at 0.60

Tier 3: Open at 1.40, Close at 1.00

Trade #2: RUT

Looking to pull some income out of this index. It hasn’t moved much this year, but over the past week has started to outperform the S&P. We’ll use a stop on this one.

Trade Setup

Expected Price: 1380

Sell to Open RUT Jun 1320/1310 Put Spread

Tier 1: Open at 1.80, Close at 0.50

Tier 2: Open at 2.50, Close at 1.80

No Tier 3

Stop out On a close Under 1340

Disclaimer

U.S. GOVERNMENT REQUIRED DISCLAIMER – COMMODITY FUTURES TRADING COMMISSION. FUTURES AND OPTIONS TRADING HAS LARGE POTENTIAL REWARDS, BUT ALSO LARGE POTENTIAL RISK. YOU MUST BE AWARE OF THE RISKS AND BE WILLING TO ACCEPT THEM IN ORDER TO INVEST IN THE FUTURES AND OPTIONS MARKETS. DON’T TRADE WITH MONEY YOU CAN’T AFFORD TO LOSE. THIS WEBSITE IS NEITHER A SOLICITATION NOR AN OFFER TO BUY/SELL FUTURES OR OPTIONS. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE DISCUSSED ON THIS WEBSITE. THE PAST PERFORMANCE OF ANY TRADING SYSTEM OR METHODOLOGY IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS. CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY, SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN