If you haven’t tried out our Explosive Options Chat Room yet, you will once you watch this webinar. Suzie Smith and I cover the same options trading strategies we use every day in the Chat Room to spot opportunities – and cash in on big gains. Through January, 31, we are offering a BOGO (buy-one-get-one) offer that allows you to try out the Chat Room for two months while only paying for one. Learn more about it here!
Suz began our webinar talking about the current market structure and where we may be headed (higher after some short term consolidation). She also stressed the importance of risk management, along with being prudent in taking profits and limiting losses.
I jumped in here, because it really cannot be stressed enough: When it comes to options trading strategies, there is no easy way to do it. However, if you have a plan, stay flexible, take profits when you have them, and stay disciplined, then you will thrive. Options trading is one of the toughest things you’ll ever do, but also the most rewarding.
We then took a look at some of the earnings plays we used in the Chat Room this week. Apple and Google have interesting chart patterns, while the DIA Interactive Chart has caught Suz’s attention, as it appears to be ready to launch past resistance overhead – there is plenty of fuel left in the indicators before reaching overbought status.
Next, we looked at sentiment, volatility and indicators. The VIX is looking bullish and sentiment from a contrarian standpoint is setting up as bullish, too. We are heading into a seasonally strong period for stocks (at least in the short term), and until the longer term trend changes, the right position to be in is long. Nevertheless, we’ll be overbought in a few days – at least in the short-term – so caution may be warranted.
Want to learn more options trading strategies like this in our Chat Room? We are always teaching those who are willing to learn about trading, spend time practicing, and listen. We have so much to offer in this great community of traders – join us!
