{"id":16503,"date":"2021-05-25T14:56:37","date_gmt":"2021-05-25T18:56:37","guid":{"rendered":"https:\/\/trades.iwopremium.com\/?p=16503"},"modified":"2021-05-25T14:56:37","modified_gmt":"2021-05-25T18:56:37","slug":"proactive-spreads-may-25th-2021-unh-wynn-shop","status":"publish","type":"post","link":"https:\/\/trades.iwopremium.com\/proactive-spreads-may-25th-2021-unh-wynn-shop\/","title":{"rendered":"Full Time Profits, May 25th, 2021 – UNH, WYNN, SHOP"},"content":{"rendered":"

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After retesting the swing lows from earlier this month, the major indices are coming back up to key levels. SPX is tagging the resistance before the failed all-time-high move. NDX is resting the prior support levels from May, this time from the underside. And the Russell 2000, which has been dead money for over 3 months, has some key levels about 30 points higher that I would love to see tested.<\/p>\n

It’s not unreasonable to expect some back and fill here, but what’s important is to keep an eye on the nature of the any kind of pull.<\/p>\n

The primary level I’m watching is 4120-4130. Simply put, the longer we hold above the level, the higher odds of a trend continuation and a potential breakout in the overall markets.<\/p>\n

However if we see aggressive sellers roll up, then that’s going to be a warning sign of a deeper correction. My hunch is that kind of market action won’t happen until after the summer, but we will see.<\/p>\n

Trade #1: UNH<\/h2>\n

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UNH had a great move over the past few weeks, and has established itself as a new market leader. It had a liquidity break earlier this month, and I’m using that to create a “measured move” setup where a second push lower is similar to the first push.<\/p>\n

That measured move takes us back to previous support, and the rising 50 day moving average. If we get that I will want to start getting long.<\/p>\n

Trade Setup<\/strong><\/p>\n

Expected Price: 394<\/p>\n

Sell to Open UNH 16Jul21 370\/360 Put Spread<\/strong><\/p>\n

Tier 1: Enter at 1.64, Exit at 0.21<\/p>\n

Tier 2: Enter at 2.296, Exit at 0.74<\/p>\n

Tier 3: Enter at 2.952, Exit at 0.97<\/p>\n

Stop Out If Close Under 369.89<\/p>\n

Trade #2: WYNN<\/h2>\n

\"\"<\/p>\n

This stock broke 120, a longer term level, and has since held that, creating a “base on base” pattern. It’s broken out and price is now above all major moving averages. I think we can see a breakout attempt, and at worst it just chops around for a while.<\/p>\n

Trade Setup<\/strong><\/p>\n

Expected Price: 129.6<\/p>\n

Sell to Open WYNN 16Jul21 115\/110 Put Spread<\/strong><\/p>\n

Tier 1: Enter at 0.86, Exit at 0.15<\/p>\n

Tier 2: Enter at 1.204, Exit at 0.44<\/p>\n

Tier 3: Enter at 1.548, Exit at 0.57<\/p>\n

Stop Out If Close Under 114.89<\/p>\n

Trade #3: SHOP<\/h2>\n

\"\"<\/p>\n

Sloppy price action on this one. We’ve got 1300 as a huge level and I think this most recent move was an attempt to hit that level. It still is attempting to build out a base, and a test of the middle of this recent rally is a good spot to work from.<\/p>\n

The bid\/ask spread on the options are a little wide, so this is my “best guess” on the option pricing if we pull into the levels I want. Make sure that the prices line up with what I have if we come back into 1160.<\/p>\n

Trade Setup<\/strong><\/p>\n

Expected Price: 1160<\/p>\n

Sell to Open SHOP 16Jul21 1000\/990 Put Spread<\/strong><\/p>\n

Tier 1: Enter at 1.8, Exit at 0.4<\/p>\n

Tier 2: Enter at 2.52, Exit at 1.02<\/p>\n

Tier 3: Enter at 3.24, Exit at 1.34<\/p>\n

Stop Out If Close Under 999.89<\/p>\n

 <\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

After retesting the swing lows from earlier this month, the major indices are coming back up to key levels. SPX is tagging the resistance before the failed all-time-high move. NDX is resting the prior support levels from May, this time from the underside. And the Russell 2000, which has been dead money for over 3 […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_bbp_topic_count":0,"_bbp_reply_count":0,"_bbp_total_topic_count":0,"_bbp_total_reply_count":0,"_bbp_voice_count":0,"_bbp_anonymous_reply_count":0,"_bbp_topic_count_hidden":0,"_bbp_reply_count_hidden":0,"_bbp_forum_subforum_count":0,"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":""},"categories":[24],"tags":[],"_links":{"self":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/16503"}],"collection":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/comments?post=16503"}],"version-history":[{"count":1,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/16503\/revisions"}],"predecessor-version":[{"id":16509,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/16503\/revisions\/16509"}],"wp:attachment":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/media?parent=16503"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/categories?post=16503"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/tags?post=16503"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}