Hey traders! Last week, I posted a bullish Netflix (NFLX) setup at Five Star Trader. At this point, this trade is making targets, and I’m taking profits. What does that look like? Well, Netflix has hit just below my price target of $730. My put credit spread, and my butterfly has two days remaining. One could … Read more
Relative Strength, Squeezes, and Earnings Netflix has been at the top of my radar for the past few months due to its trend and relative strength. This is primarily for trading only versus investments because I don’t invest in stocks at new all-time highs. With this ticker, I added some put credit spreads and bullish … Read more
Relative strength stocks continue to break out after the Fed cut rates. When semiconductors (SMH) break higher, along with Microsoft (MSFT), Amazon (AMZN), Netflix (NFLX), Meta (META), Tesla (TSLA), and Broadcom (AVGO), this relative strength is a bullish sign for continued upside price action. There’s also a difference between where traders and investors should focus. … Read more
Hey traders! The market is waiting on a reaction post-Fed, and I’m waiting to see which way the move breaks. Generally, the day after the Fed announcement is when we get the actual move, though an initial reaction will occur after the announcement. As such, it’s essential to have some bullish and bearish tickers on … Read more
During market pullbacks, I like to add to my long-term stock accounts. One of the tickers I’ve been adding more of lately is Amazon (AMZN). Why Amazon? The long-term goal of the stock portfolio is to accumulate enough shares to create an income stream via selling covered calls and creating wealth from the shares themselves. … Read more
Relative Strength in Consumer Staples Tech darlings remain weak, as is typical for September seasonality, which causes me to search for relative strength elsewhere. Consumer staples are at all-time highs, as relative strength in this space continues to be strong. Of course, I don’t want to buy something already at high, but I want to … Read more
September is here, and its entrance is dashing hopes that September seasonality came early. As of this writing, the Nasdaq futures are down 2.25%, and the S&P is down 1.37%. What’s interesting about the summer pullback is that semiconductor and technology stocks led it lower. This is critical to mention because these are typically the … Read more
Trade Review I love using butterflies for low-cost earnings trades! This low-risk trade cost me $155, and I traded this ticker directly to my target overnight, making a triple on my debit. This earnings trade in CHWY had the following: Pre-earnings short squeeze candidate A ticker with an earnings turn around story Extremely low risk … Read more
Earnings reports can provide trading opportunities, particularly when stocks with high short interest, such as Gap (GAP) and Peloton (PTON). I joined Dominic Chu to discuss my short squeeze trade in PTON, a potential reversal in Paypal (PYPL), a pre + post-earnings trade in GAP, and my pessimistic take on NKE.
Sometimes, the indexes are chopping around and seem to be doing a whole lot of nothing. If you know what to look for, this can be a great moment to sell premium in the options market! In this trade review video, I go over my SPX 0 DTE iron fly, where I sold premium in … Read more