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Full Time Profits, March 5th, 2020 – JPM, FB, TLT

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After a nasty crash, markets are doing what they do best– chopping around in a high volatility range driven by news.

Our advantage lies in the ability to provide liquidity. That’s the whole reason I developed Full Time Profits in the first place– when you have markets like this you can scale in and out very aggressively. We’re going to do just that.

The situation is… dynamic to say the least. Last night I was ready to setup some bear call spreads, and it completely shifted

Trade #1: JPM

Looking for a gap fill and support to hold into the 110 level.

Trade Setup

Expected Price: 110

Sell to Open JPM Apr 95/90 Put Spread

Tier 1: Enter at 0.85, Exit at 0.35

Tier 2: Enter at 1.19, Exit at 0.54

Tier 3: Enter at 1.53, Exit at 0.66

Stop Out If Close Under 94.89

Trade #2: FB

Looking for the pull into 180.

Trade Setup

Expected Price: 180

Sell to Open FB Apr 155/150 Put Spread

Tier 1: Enter at 0.7, Exit at 0.18

Tier 2: Enter at 0.98, Exit at 0.29

Tier 3: Enter at 1.26, Exit at 0.32

Stop Out If Close Under 154.89

Trade #3: TLT

 

We’re seeing upside capitulation as bond yields are collapsing. The 10 year broke sub 1%, and implied vol is exploding. I want to fade this.

Trade Setup

Expected Price: 158.52

Sell to Open TLT Apr 167/170 Call Spread

Tier 1: Enter at 0.41, Exit at 0.09

Tier 2: Enter at 0.574, Exit at 0.154

Tier 3: Enter at 0.738, Exit at 0.168

Stop Out If Close Over 167.11

Disclaimer

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