Momentum Trades

Daily Update, Momentum Options

Another Perfect Storm

Pre-Market Update: It was a bullish Thursday on Wall Street, as the major averages opened higher, set record highs and held positive territory throughout the day. It is hard to define “resistance” with the broader market setting fresh all-time highs, as the higher fluff targets I have given are coming into play. However, tech and the small-caps still have hurdles to clear before I go “all-in.”

Daily Update, Momentum Options

Blue-Chips Tap Another Record High

Pre-Market Update: I told you that it has been hard to bet against the bulls this year (and last), and yesterday they showed why. Of course, with volatility picking up and continued breaking headlines the rest of the week, the bears aren’t out of the game. However, yesterday’s action was a clear sign of momentum reversal, with the Dow setting an all-time record high.

Daily Update, Momentum Options

Bulls Show Strength/Small-Caps Lag/Profit Alert (MGM)

Mid-Market Update: The action has been mixed today, and I had penciled in a flat session as the Fed reviews its monetary policy over the next two days. The bulls have shown some strength following Monday’s drubbing and held support on the bearish attack at the open. There is still a second half of trading, but the pullback Wall Street wanted may have come and gone if resistance clears.

Momentum Stocks Weekly

Weekly Wrap

Wall Street is worried about September, but I’m more interested in October. I would love to get confirmation that a 5%-10% correction is coming, as I will use put options to make money for our portfolio. While some call options may pullback, I have used longer-term options to protect the positions from volatility.

Momentum Options, Daily Update

Bears Win Wild Wednesday

Pre-Market Update: The market was choppy on Wednesday, as Wall Street seemed nervous regarding what the central banks from around the world may or may not do regarding their interest rates and monetary policies. News that there was a cease fire between Russia and Ukraine gave the bulls an early lift, but when those reports turned out to be bogus, the concern turned back towards the ECB (European Central Bank).

Daily Update, Momentum Options

Calm Before the Storm

Pre-Market Update: Today is the last trading day in August, and I said coming into the week that the bears would need a miracle to win August given the bulls’ substantial lead. Yesterday’s feeble attempt by the bears barely caused a scratch with the little blood they drew, and today’s action should be a good tell of how next week might play out.

Momentum Options

Ring-a-Ling-a-Ling

Trade Alert: I have action for you to take on a call option trade that is up 73% in 5 days. While I’m still looking for a triple-digit profit, I want to ensure the trade is profitable first and foremost by closing a quarter of the position.

Momentum Stocks Weekly

Weekly Wrap for 8/24/2014

The few analysts and talking heads that are left between now and the start of September scrambled for clues on why the market rallied. They had excuses but no answers as the suit-and-ties are not “students” of the market and don’t do homework. If they were, they would have seen the bulls clues dropped all week long by the higher highs bulls higher highs were on deck.

Daily Update, Momentum Options

The Top is In!

Pre-Market Update: I have run out of toes and fingers to count on after hearing today’s headline throughout the year by many so-called market experts. Although the possibility of a market top could have been set yesterday, chances are that the bulls aren’t done, as the indexes continues to push my March, July and year-end fluff targets.

Momentum Stocks Weekly

Weekly Wrap

The bulls avoided their first 3-week losing streak in over a year after the market rallied throughout the week. Friday was a volatile session and is usually the case with option expiration day but geopolitical concerns also added to the mayhem.

Daily Update, Momentum Options

Trade of the Week Update: RealD (RLD) Back in Single-Digit Territory/Put Options Double

Mid-Market Update: Earlier this week, I profiled RealD’s (RLD, $9.10, down $0.15) upcoming earnings release and showed investors and option traders several different ways to play a possible 10% move in the stock and a possible triple-digit profit with the right option. It is part of my goal to teach you how to find profitable stock and option trades by showing you how to do research and chart work to better your odds of success and to give you a feel for how I trade.

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