{"id":16777,"date":"2021-10-12T15:43:48","date_gmt":"2021-10-12T19:43:48","guid":{"rendered":"https:\/\/trades.iwopremium.com\/?p=16777"},"modified":"2021-10-13T10:21:44","modified_gmt":"2021-10-13T14:21:44","slug":"proactive-spreads-october-12th-2021-ice-cop-smh","status":"publish","type":"post","link":"https:\/\/trades.iwopremium.com\/proactive-spreads-october-12th-2021-ice-cop-smh\/","title":{"rendered":"Full Time Profits, October 12th, 2021 – ICE, COP, SMH"},"content":{"rendered":"

\"\"<\/p>\n

Markets are still a choppy mess right now. We’ve got potential changes in Fed policy due to “transitory” economic data, a ramp up in crude and natural gas, the debt ceiling\/infrastructure, and the Chinese Evergrande situation that everyone thinks is contained. Oh, and earnings.<\/p>\n

In other words, just another week in the markets.<\/p>\n

We will most likely stay choppy for a while as we continue to shake out the weak hands. It’s very possible that this is a longer term topping pattern, yet we won’t know how strong the odds are on that until we get more data and price action. I currently view the S&P as roughly a coin flip here, with not much of an edge on a daily chart. So right now we will focus on playing pullbacks in two strong stocks, and picking a fade level in the Semiconductor sector.<\/p>\n

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

\"\"<\/p>\n

Clean multi-week breakout for ICE. This is probably related to the uptick in trade activity in commodities. This setup will have earnings risk, yet this stock doesn’t have a tendency for massive moves. That said, we’ll focus on December options for this one to give more wiggle room through earnings.<\/p>\n

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

Expected Price: 123.3<\/p>\n

Sell to Open ICE 17Dec21 115\/110 Put Spread<\/strong><\/p>\n

Tier 1: Enter at 0.75, Exit at 0.02<\/p>\n

Tier 2: Enter at 1.05, Exit at 0.26<\/p>\n

Tier 3: Enter at 1.35, Exit at 0.32<\/p>\n

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

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

\"\"<\/p>\n

Conoco is running hot on the back of solid moves in oil and gas. I’m looking for the first pullback from this breakout for a fresh entry.<\/p>\n

Earnings is in this cycle, so again we will focus on Dec options.<\/p>\n

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

Expected Price: 67.33<\/p>\n

Sell to Open COP 17Dec21 62.5\/60 Put Spread<\/strong><\/p>\n

Tier 1: Enter at 0.65, Exit at 0.33<\/p>\n

Tier 2: Enter at 0.91, Exit at 0.59<\/p>\n

Tier 3: Enter at 1.17, Exit at 0.79<\/p>\n

Stop Out If Close Under 62.39<\/p>\n

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

\"\"<\/p>\n

This is a “wishful thinking” trade where if we get a break under the 200 day moving average, we can see a swift move to the middle of the trading range.<\/p>\n

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

Expected Price: 240<\/p>\n

Sell to Open SMH 19Nov21 220\/215 Put Spread<\/strong><\/p>\n

Tier 1: Enter at 0.75, Exit at 0.02<\/p>\n

Tier 2: Enter at 1.05, Exit at 0.26<\/p>\n

Tier 3: Enter at 1.35, Exit at 0.32<\/p>\n

Stop Out If Close Under 219.89<\/p>\n","protected":false},"excerpt":{"rendered":"

Markets are still a choppy mess right now. We’ve got potential changes in Fed policy due to “transitory” economic data, a ramp up in crude and natural gas, the debt ceiling\/infrastructure, and the Chinese Evergrande situation that everyone thinks is contained. Oh, and earnings. In other words, just another week in the markets. We will […]<\/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\/16777"}],"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=16777"}],"version-history":[{"count":2,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/16777\/revisions"}],"predecessor-version":[{"id":16784,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/16777\/revisions\/16784"}],"wp:attachment":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/media?parent=16777"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/categories?post=16777"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/tags?post=16777"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}