ROKU head and shoulder formedI am long on this ticker
bought July call options
target is the red line
Do u know why?
Optiontrading
Potential NASDAQ LONG Trading PlanAs expected, NASDAQ is currently on pull back before rallying up again retesting the highest pivot point of 10144.
Work Form Home policy has apparently given a significant positive impact of NASDAQ index as stocks like ADOBE has surged in terms of its revenue last week. I see nothing can stop these technologies bunch as it is immune to the recession as compared to brick and mortar business models.
Trading Plan:
i) LONG when it reaches pull back 1 at 9467.3 and pull back 2 at 9279.4 with the target Take Profit point at 10144.
Author:
S.I.D. Aizu
Trading Edge 2020 Portoflio -Trade #1 - MJ - Under loved Pot ETFTrading Edge 2020 Portfolio trade #1
Ticker: MJ
Position:
- Looking at long dated call options (Jan 15th 2021)
- $15 strike (ITM, gives some degree of protection against theta decay)
- Cost (approximately $460/ contract, at current mid bid and ask, willing to go as high as $5.00)
- 0.72 Delta (ITM)
- Running 2x contracts (allows us to sell one on the way up, also makes a more meaningful position size)
Profit Target/ Exit:
- looking for mean reversion to allow us to sell half to have a riskless trade, this would require a move to around the $22.50 - $23.00 range
- Given the fact the position is a long-dated option, we will not run a technical stop, instead we will let the position run and check to see if it performers or not (i.e. no point running a 50% stop and getting stopped out, 1 month into a 12 month contract).
Rationale:
- Speculative counter trend play on MJ, given the overwhelming negative sentiment
- Simple position to manage, the long-dated nature means that we have 12 months for this ETF to regain it's legs, also means that if we get a market correction, we have the time to ride it out
- Despite the price action, MJ has been a high beta performer, if we are going through a 'melt up' phase, then MJ is likely to be swept up in the euphoria
- Both MACD and RSI signaling a possible bullish reversal (or even just a potential bear rally)
- Moving averages signaling a possible bounce is due, not necessarily a total trend reversal
- TradingEdge
Portfolio spreadsheet available to view here >>> docs.google.com
AMD Long Position (Naked Call)
AMD can offer a tremendous profit opportunity on the daily chart if you are patient and enter at the right time. The strategy I am using on it is buying long on any pull backs to its Fibonacci levels. These opportunities can offer 30%+ in price appreciation over a 60 day period in its current channel up from December 2018.
- AMD is currently in a nice channel up pattern and has been respecting this since about December 2018
- At market close 7-Day VWAP is trading about the 30-Day VWAP which is a positive sign of price appreciations
- Price is also trading above the 21-Day EMA which can indicate the stock is in an uptrend
- We can also see how price respect the retracement level and we just bounced of the upper trend line of the channel
- We can see a potential negative divergence on the MFI which could indicate we will go back and test the previous Fibonacci and lower trend line of the channel
- I will be looking for this scenario to play out in the next couple weeks or so.
- I will post any updates as they develop
Yours in Mastery,
Khalil
EWZ - BrazilThis is the subsequent roll from my last Brazil position.
-1 Oct19 31/41 strangle for $1.61.
Risk: 2x credit received
Profit: 50% cr received
B/Es are $29.39 and $42.61
NIFTY 50 Trade Setup - 27'th August 2018-What will nifty do now?Hello all,
Explained about support and resistance in the chart. Buy put or sell in futures if those support breakout.
MCD - McDonaldsMCD has sold off quite a bit here in the last few months and is hovering above this longer term support level. I decided to go with a asymmetrical set up using a call spread for this play.
+1 Dec21 155/170 call spread for $5.38 db.
Risk: Try to let price action stop me out at the project stop or manage near a 50% loser to keep the risk small.
Profit: Target hit (initially)
ONLY FOR OPTION TRADING .......This is only for option trading ...
from 13.30 to 14.30
1 hour candle will be green...
XHB - HomebuildersGetting long homebuilders here at support.
-1 Sep21 $39 put for $.84 cr.
Risk: 2x cr received or I'll continue holding and rolling.
Profit: 50% cr received or continue to roll.
Notional Value: $3900/contract
XLU - UtilitiesIV isn't extremely high, but has spiked up a bit in Utilities, so I'm looking at placing a strangle here.
-1 Sept21 50/54 strangle for $1.14 cr. I will likely manage this position at 50% and we'll deal with specific loss mgmts when we get there.
