Lede Last time we wrote How to Trade the Magnificent Seven: “Not That Bearish” is Profitable, in an effort to construct an historically profitable strategy when the stocks had fallen into correction (down 10% or more) in the last 30-days where the speculation benefitted simply by either the stocks not going down very much, or going up. …
How to Buy the Sell-off in the Magnificent Seven: An Oversold Trigger Read More »
Lede Today we take the option strategy approach we applied to the indices over to the “magnificent seven.” Conditions Last time we wrote this: Option Trading SPX and IWM: Set-ups in the Indices SEPTEMBER 12, 2023 Lede Today we extend our analysis from the prior post, and look at various option trades in the S&P 500 and …
How to Trade the Magnificent Seven: “Not That Bearish” is Profitable Read More »
Lede Today we extend our analysis from the prior post, and look at various option trades in the S&P 500 and the Russell 2000. This is a reminder that while there is plenty of room for stock specific backtests, pre-earnings, post-earnings, ignoring earnings, and everything in between, there are also opportunities to examine in the …
Option Trading SPX and IWM: Set-ups in the Indices Read More »
Lede Make lemonade out of lemons: the volatile period from Sep – Nov provides opportunity. Preface Yesterday we looked at bullish set-ups going into earnings in the magnificent seven and the four mega banks. Today we will look at some set-ups that have nothing to do with earnings, but rather that identify when a bounce may be …
Lede In recent years, a discernible trend has emerged in the stock price performance preceding the earnings announcements of prominent technology conglomerates such as Apple (AAPL), Microsoft (MSFT), and Alphabet (GOOGL), as well as leading banking institutions like JPMorgan Chase (JPM), Bank of America (BAC), Citigroup (C), and Wells Fargo (WFC). This periodicity pattern has …
Option Traders: The Tradeable Periodicity Phenomenon in Mega Tech and Mega Banks Read More »
Lede We look at two triggers on the day driven by technical conditions and charts with backtested results. Triggers, Charts, Backtests We start with AMZN and use Pattern Finder to examine the 3-year chart while asking Pattern Finder to turn on the following settings: Trend Support (red line) Trend resistance (green line) Congestion points (pink lines) Target Zones (green …
Lede Today we look at post-earnings patterns and a volatility burst pattern. Stocks, Backtests, and Charts Today we look at two tech stocks that went down after earnings, but have a tendency to recover post-earnings specifically after a drop. We look at tickers DDOG and TTD. Both companies reported earnings earlier this week, and both dropped off of the reports, though …
Bullish Reversals off of Earnings and a Volatility Burst in Goldman Sachs Read More »
Preface It’s time for more chart, skew and kurtosis, and backtesting analysis. Charts We started with the “Directional Charts” screen category and the “Bullish Charts; 3-yr Charts; Nearest Congestion or Trend” screen in Pattern Finder: We made sure we looked at stocks with strength in their tail dynamics (we share a video at the end of this post …
Preface Today we look at bullish chart set-ups that have strength in their tail and skew dynamics and specifically a behavior after earnings. Charts We started with the “Directional Charts” screen category and the “Bullish Charts; 3-yr Charts; Nearest Congestion or Trend” screen: We made sure we looked at stocks with strength in their tail dynamics (we share …
Two Bullish Opportunities – Two Plans – One Strategy Read More »
Preface Please find the “How to Use TradeMachine” webinar below, as well as a 3-minute snippet from the webinar which answers the question, “so, what’s so special about TradeMachine?” 3-Minute Snippet: What’s So special About TradeMachine? A Remarkable Finding for Stock and Option Traders Learn More about TradeMachine Full Webinar Legal …