{"id":16663,"date":"2021-08-04T15:23:14","date_gmt":"2021-08-04T19:23:14","guid":{"rendered":"https:\/\/trades.iwopremium.com\/?p=16663"},"modified":"2021-08-04T15:23:14","modified_gmt":"2021-08-04T19:23:14","slug":"proactive-spreads-august-4th-2021-lrcx-v-nke","status":"publish","type":"post","link":"https:\/\/trades.iwopremium.com\/proactive-spreads-august-4th-2021-lrcx-v-nke\/","title":{"rendered":"Full Time Profits, August 4th, 2021 – LRCX, V, NKE"},"content":{"rendered":"

\"\"<\/p>\n

Markets have been in a whippy range over the past two weeks. It’s been exceptionally rotational, and I’ve not seen much on the large-cap side to really justify being *super* bearish here.<\/p>\n

One thing to keep in mind is how stinking elevated the volatility markets have been. The VIX has stubbornly stayed above 16, most likely due to concerns about the cold-that-shall-not-be-named… I email this out and I want to make sure there’s no keyword blocks that break my ability to send to you…<\/p>\n

There’s two primary risks about this. First is biological… the sunbelt is having its seasonal wave and many are freaking out, and we’ll find out in about a week if this is even a concern.<\/p>\n

The second risk is political, and I am hesitant to even talk about it given how polarizing it is. I will just say this– there are rumblings about large executive orders that would have large effects in stocks, and I think this is the biggest risk in the market.<\/p>\n

Ok, out of politics. Smallcaps are continuing to show signs of distribution, which could be a concern, but we haven’t seen enough evidence to really put the warning sign on.<\/p>\n

So what do we do here?<\/p>\n

I think the best bet is to stick with strong sectors, and we can balance out with a few more short setups if they start to play out.<\/p>\n

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

\"\"<\/p>\n

This is a semiconductor company, and this sector has been incredibly strong– see the parabolic run in AMD this week, along with the most recent rally in NVDA.<\/p>\n

I think that this looks ripe for continuation. It’s been choppy for a few months so I don’t expect it to be a straight shot higher, but we should get some nice movement to the upside, and as long as the lower end of the range holds, will be good for a trading vehicle.<\/p>\n

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

Expected Price: 650.06<\/p>\n

Sell to Open LRCX 17Sep21 575\/570 Put Spread<\/strong><\/p>\n

Tier 1: Enter at 0.72, Exit at 0.01<\/p>\n

Tier 2: Enter at 1.008, Exit at 0.2<\/p>\n

Tier 3: Enter at 1.296, Exit at 0.25<\/p>\n

Stop Out If Close Under 574.89<\/p>\n

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

\"\"<\/p>\n

Visa has seen a nice correction here, and is seeing some near term buying pressure against the rising 50 day moving average. Underneath that we have a larger support trendline to work with, as well as a key pivot level into the 230s.<\/p>\n

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

Expected Price: 236.75<\/p>\n

Sell to Open V 17Sep21 225\/220 Put Spread<\/strong><\/p>\n

Tier 1: Enter at 0.82, Exit at 0.1<\/p>\n

Tier 2: Enter at 1.148, Exit at 0.36<\/p>\n

Tier 3: Enter at 1.476, Exit at 0.48<\/p>\n

Stop Out If Close Under 224.89<\/p>\n

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

\"\"<\/p>\n

This is just one of those solid trenders that hasn’t looked back after its monster earnings gap. I think that, in the near term, perfection is being priced in and that we could see a rug-pull before the earnings event, which is scheduled for after September options expiration.<\/p>\n

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

Expected Price: 174.56<\/p>\n

Sell to Open NKE 17Sep21 185\/190 Call Spread<\/strong><\/p>\n

Tier 1: Enter at 0.82, Exit at 0.1<\/p>\n

Tier 2: Enter at 1.148, Exit at 0.36<\/p>\n

Tier 3: Enter at 1.476, Exit at 0.48<\/p>\n

Stop Out If Close Over 185.11<\/p>\n","protected":false},"excerpt":{"rendered":"

Markets have been in a whippy range over the past two weeks. It’s been exceptionally rotational, and I’ve not seen much on the large-cap side to really justify being *super* bearish here. One thing to keep in mind is how stinking elevated the volatility markets have been. The VIX has stubbornly stayed above 16, most […]<\/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\/16663"}],"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=16663"}],"version-history":[{"count":1,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/16663\/revisions"}],"predecessor-version":[{"id":16669,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/16663\/revisions\/16669"}],"wp:attachment":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/media?parent=16663"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/categories?post=16663"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/tags?post=16663"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}