Buy to Open XLE Oct/Dec 65 Put Calendar @1.02
Add to the trade at 68. Guidance will follow if that level is hit.
UPDATE
Closing the trade for a loss.
Sell to Close XLE Oct/Dec 65 Put Calendar @0.81
-20% Return on Risk On Tier 1
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By Steven Place
By Steven Place
Markets are in full-fledged breakout mode here. Odds are the price action in the next few weeks will resemble what we’ve seen all of 2017– a run followed by a rotational correction and a few shakeouts. I’m staying biased to the longside unless the market loses the breakout low of 2474.
Initial upside resistance is that yellow trendline. Any fast moves above that indicate parabolic action and then we can look at selling some index call spreads or fading names that are parabolic. Intermediate term target is 2550, although that does seem a touch ambitions.
AAPL had an event two days ago where the initial optimism was faded. On the fundamental side of things, any new breakthroughs from the company will most likely not be on the iPhone.
I’m anticipating that this short term disappointment will lead to further profit taking and a swift move to previous levels. The earnings gap at 150 is what many will be focused on, but I will be fading the selloff once we break 155, which is the previous support as well as the rising 50 day moving average.
Trade Setup
Expected Price: 154.50
Sell to Open AAPL Nov 140/135 Put Spread
Tier 1: Enter at 0.60, Exit at 0.10
Tier 2: Enter at 0.90, Exit at 0.60
Tier 3: Enter at 1.20, Exit at 0.90
Looking for a pullback to breakout pattern. If that doesn’t happen and the stock pushes above 195 without a correction, we’ll look to sell call spreads instead.
Trade Setup
Expected Price: 182.66
Sell To Open AMGN Nov 165/160 Put Spread
Tier 1: Enter at 0.65, Exit at 0.15
Tier 2: Enter at 0.95, Exit at 0.65
Tier 3: Enter at 1.25, Exit at 0.95
By Steven Place
Buy to Open NVDA Nov 175/190 Call Spread @4.73
UPDATE: 180 Price Target Hit, Sell Half
Sell to Close Half Size NVDA Nov 175/190 Call Spread @6.73
UPDATE: 190 hit, going to roll up the 175 call to 180, then sell the Nov 230/240 Call Spread in the Trade
Trade #1: Sell to Open NVDA Nov 175/180 Call Spread @3.10
Trade #2: Sell to Open NVDA Nov 230/240 Call Spread @0.90
Taking profits on the trade.
By Steven Place
By Steven Place
By Steven Place
After 2 months of reversion, the markets are experiencing a “gap and go” to the upside. If we take the past month’s range as our projected targets, then 255 should be the “upper bounds” for near term action.
Overall market looks very strong, and until evidence to the contrary, most of your trades should be long biased. We’ll be looking for pullbacks in individual names when weakness finally shows up. In the meantime, we’ll look at a pb2bo in GLD and a parabolic long in DIS.
Looking for gold to fade into the pivot level of 125, which will also have the rising 20 day moving average there for support.
Trade Setup
Expected Price: 124.50
Sell to Open GLD Oct 122/119 Put Spread
Tier 1: Enter at 0.45, Exit at 0.10
Tier 2: Enter at 0.60, Exit at 0.45
Tier 3: Enter at 0.75, Exit at 0.60
DIS had a nasty earnings gap, then more downside on news of a streaming service that has investors spooked. I’m looking for a push to new marginal lows, which will provide a momentum divergence.
Trade Setup
Expected Price: 95.99
Sell to Open DIS Oct 92.50/90 Put Spread
Tier 1: Enter at 0.45, Exit at 0.10
Tier 2: Enter at 0.60, Exit at 0.45
Tier 3: Enter at 0.75, Exit at 0.60