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Bearish on Bank Of America (BAC)This is my first time publishing any analysis and I have also not been analyzing charts for to long. This post is more so looking for feedback on my analysis, but if it helps others, then great. That being said, I am confident in shorting BAC as a result of the bearish indicators shown in my chart. For one, it is hovering above a support level that I think needs to be hit before BAC rebounds. My other reasoning is the the 50 day and 100 day moving averages are crossing. The third reasoning shown in my analysis is the "Bearish Cup and Handle Pattern." Also not drawn in what I believe to be a bearish pennant pattern. These reasons are why I have a bearish bias on BAC. As I said before, I am new to this, so any feedback would be MUCH appreciated. (Not Financial Advice)
NYSE:BACShort
by inactiveaccountdontfollow
1
UAL Bullish inclined Naked Puts 10 Dec Expiry (Dec Track 1)Whats The Plan/Trade/Thought This trade is slightly risky as it is not an ETF. But it's current price movement mirrors JETS etf and this will allow me to get a decent price based on my outlook on travel as a sector Overall we are seeing Leisure and Hospitality with the largest job gains (Oct data). However in terms of Job postings, while all sectors are seeing increases. Hospitality & Tourism have the lowest postings If you look at the high Job Gains and the low Job Postings. We can make the assumption that people are filling up Leisure and Hospitality jobs easily but the supply of jobs is just not enough for the number of candidates available. This also means that the Leisure and Hospitality sector are being very very cautious and this is reflecting in the price movements despite the largely bullish S&P moves. However it is not contrarian, just dulled and pensive UAL in Oct has also posted higher than expected revenue but is still below 2019 numbers (Before COVID19) UAL has made higher lows in the past 2 months I Feel I feel I have a good assumption that is a reflection of the current market movement. I am also not predicting any direction in my analysis Imagine Yourself Taking The Other Side This is an easy position to take the other side even if I was bullish. The price is currently ranging and while it has previously broken the resistance line at 51. It has whipped back below the line. It is possible for it to continue to range down to 43.20 and still hold true to my thoughts on the sector Imagine Yourself As A Neutral Observer This trade is slightly worrying based on the position of the Strike within the range. But if I follow the overall market bullishness I feel we are at least standing on the right side of the fence. Look For New Information No new information, but current price movement on the 15 Nov has not followed Friday's drop and feels like it is testing the S&R line How Do I Feel Now I'm going to look at it from an hour, breath and then enter if nothing comes up Trade Specs Sold 160 Puts @ 0.33 - Strike 44 % to Strike 12.23% ATR % is around 1% BP used 70k Max Gain: est $5280
NASDAQ:UALLong
by Ronin_trader
Options flow are whispering on BTCThe Options Market can inform well in advance about movements that are yet to happen in futures contracts. Looking at the Options with an Exercise Date (expiry) in 22 days at the time of writing the analysis, the conclusions are quite loud and clear: 50,000 - Put Wall level, that is support with 2 times more capital than the other levels 60,000 - Call Wall level -> resistance 65,000 and 70,000 - successive resistance levels We also see some Virgin VPOC points from the past, which only adds strength and confidence to the Bitcoin bullish prediction. All data and levels are based on BTC quotes from CME. I am puzzled by a very large capital located at the level of 50k $ - someone really cares to defend this level at all costs. There is still time for it, so it's worth watching how the situation develops;)
CME:BTC1!Long
by skyline-trader
2
Explaining The Greeks: DELTAIn case you prefer to read the blog version of the report, it is listed below. I have included an example as well. What is DELTA? Delta is one of the four major risk measures in options trading. It measures the amount an options price is affected by a $1 price change in the underlying stock. DELTA is measure on a scale from 0.00 to 1.00 for call options, and 0.00 to -1.00 for put options. Delta is the main component in measuring leverage. This can be done by: (delta/option price)*current stock price. Remember a delta of 0.45 results in a 45 cents change in options prices, which is a $45 change in options value, with every $1 move in stock price. The leverage through this can be huge. As expiration approaches, the delta for in the money options will approach 1.00, whereas, for out of the money options, the delta will approach zero. Delta unofficially is also the probability that the option will expire in the money. EXAMPLE: CASH: $100 Current Stock Price: $25/share Call Option: Strike: 26, Cost: 0.50, DELTA: 0.80 Before expiration the price of the stock rises to $26 per share If you would have out right purchased shares, it would have costed you $100 for 4 shares. If you would have bought two call options it would have costed you $100, and you have the right to 200 shares of stock At expiration your shares, if purchased, would be worth $26 each, or a $4 P/L. At expiration your contract would be in theory worth 1.00, or $100 each, $200 P/L. We can calculate your leverage at purchase to be (0.80/0.50)*25 = 40X leverage PLEASE NOTE: The numbers listed above are extremely unrealistic numbers, I used them for simplicity's sake. PLEASE NOT: You must have sold your option prior to expiration in order to cash out on your gains.
AMEX:SPYEducation
by braydenboyko
Never time The Market, right?When it comes to your long term portfolio, please Dollar Cost Average into the S&P 500. Which I will explain how to in detail in my next post. However today I just want to show a small swing trading strategy theory I will try for fun. The reason I prefer the idea of swing trading is because it requires you to set your candle sticks to 4h,1d, or sometimes even 1 week. This is good because the more time range each candle stick has the more significance a simple trading pattern will have. In other words trend lines (support/resistance) will be respected. Its very difficult to trade with the market average unless you have a significant amount of capital, and even then your better off on other investments/trades. That's what got my head on option trading; this is a high risk and high reward form of trading. You either lose it all or you make a big return (rough explanation). All this being said that's why I think the S&P 500 is the perfect environment for option trading. I believe if you call/put when the candle hits the trend line you will almost always win; and for breakouts you can wait for the re-bounce. Please let me know what you think!
AMEX:VOO
by pastworks
$USO IronCondor 72%PoP, 45% profit - gift of the day with 176IVRDon't miss the opportunity of the day! Highest IVR ETF today with the value of 173! Of course, -5 delta meaning bearish Iron Condor. SAFETY ZONES: 200MA could act as support, bullish trendline too. Max profit: $314 Probability of 50%Profit: 72% Profit Target relative to my Buying Power: 45% Max loss with my risk management: ~$150 Req. Buy Power: $686 (max loss without management before expiry, no way to let this happen!) Tasty IVR: 137-173 (ultra high for options ) Expiry: 56 days SETUP : IC for , because IVR ultra high, for 3.14cr * Sell 1 USO Jan21' 35 Put * Buy 1 USO Jan21' 45 Put * Buy 1 USO Jan21' 55 Call * Sell 1 USO Jan21' 65 Call SETUP: IC for USO, because IVR is epic high. Stop/my risk management : Closing immediately if daily candle is closing out of the the box, max loss in my calculations in this case could be ~150$. Take profit strategy: 65% of max.profit in this case with auto buy order at 1.1db. Of course I'll not wait until expiry in any case! If you liked this article, check my other ideas. Anyway: HIT THE LIKE BUTTON BELOW , and for fresh option ideas FOLLOW ME( @mrAnonymCrypto ) on tradingview !
AMEX:USO
by TanukiTrade