RSSOptions Trading Strategies

3 Stocks Roaring Higher After Earnings

| November 1, 2019 | 0 Comments
3 Stocks Roaring Higher After Earnings

Earnings is fueling these stocks higher. Buy them. Traders love earnings season because it reignites flagging trends or sparks new ones. And that can create some compelling and actionable trade ideas. Today we’ll look at three stocks to buy that are pushing higher on better-than-expected earnings. They all hail from the technology sector, which has […]

Continue Reading

3 Bank Stocks To Buy After Earnings

| October 21, 2019 | 0 Comments
3 Bank Stocks To Buy After Earnings

Consider these options cash flow strategies in JPM, BAC and C stock Earnings season is upon us, and as usual, bank stocks led the way. If you couldn’t tell by this week’s rally in the S&P 500, the market cheered the results. With the recent gains, more upside could be on the way.  Today, we’ll look […]

Continue Reading

3 Strong Stocks To Buy

| October 11, 2019 | 0 Comments
3 Strong Stocks To Buy

Ignore the messy market and buy these market leaders The ranks of strong stocks are dwindling. But there are still a few diamonds in the rough that belong atop any stocks to buy list. But first, some context is in order. So far, October is living up to its bad reputation. It’s not only the […]

Continue Reading

3 Bull Flag Stocks To Buy

| September 30, 2019 | 0 Comments
3 Bull Flag Stocks To Buy

The bulls’ banner waves in these three stocks. Buy them. The drama unfolding in Washington has turned the uncertainty dial up to 11. But many stocks are staying above the noise and actually offer compelling setups ahead of the weekend. Today we’ll look at three of the best stocks to buy. Wednesday’s rally was important. […]

Continue Reading

3 Stocks To Buy After The Fed Meeting

| September 20, 2019 | 0 Comments
3 Stocks To Buy After The Fed Meeting

These three stocks are breaking out RIGHT NOW The Fed Meeting is over and the market uptrend remains intact. Here’s the key takeaway: bulls should celebrate and traders have a green light for finding stocks to buy. Wednesday’s decision to cut the Fed’s target rate by a quarter-point arrived as expected. While some may quibble […]

Continue Reading

3 Stocks To Buy As Sector Rotation Heats Up

| September 13, 2019 | 0 Comments
3 Stocks To Buy As Sector Rotation Heats Up

Banks, Industrials, and Energy are heating up. Here’s how to profit. The S&P 500 is closing in on a record high as optimism returns to the Street. Over the past week, we’ve seen improving price action and accelerating strength beneath the surface. Sector rotation is afoot, and I’ve spotted three stocks to buy that should continue to […]

Continue Reading

3 Left-For-Dead Stocks To Buy As They Come Back To Life

3 Left-For-Dead Stocks To Buy As They Come Back To Life

Strength is emerging in these beaten-down stocks Some stocks are loved by investors while others are loathed. And while dumpster diving for bargains can be dangerous, it can also be immensely profitable. After sifting through the trash, I’ve discovered three left-for-dead stocks to buy that are coming to life. The reasons for investors abandoning once […]

Continue Reading

3 Internet Stocks Immune To The Trade War

3 Internet Stocks Immune To The Trade War

These internet stocks are sidestepping trade war worries and roaring higher The seemingly endless trade war has left countless victims maimed and wounded in its wake. Escalating tariffs and slower global growth is taking a bite out of corporate profits and souring full-year forecasts. But not all companies are getting bogged down by the brouhaha. […]

Continue Reading

3 Battered Bank Stocks To Bail On

3 Battered Bank Stocks To Bail On

Plunging rates spell doom for bank stocks Plunging bond yields have sent the stock market into a tizzy. And “inverted yield curve” is the new buzzword littering news sites everywhere. In today’s gallery, we’ll shed light on what all the fuss is about and identify three bank stocks to sell. When investors see turbulent seas […]

Continue Reading

3 Stocks To Buy In The Aftermath Of The Rate Cut

3 Stocks To Buy In The Aftermath Of The Rate Cut

Sell puts for cash flow in these three stocks The Federal Open Market Committee cut their target rate for the first time in a decade as expected. Market watchers have also been pricing in an additional one or two cuts by year-end. But comments by Fed Chair Jerome Powell during the news conference put into […]

Continue Reading

3 Stocks That Look Like Death

3 Stocks That Look Like Death

These stocks have been poison to portfolios. Sell them The flurry of new highs notched by the S&P 500 is perhaps the clearest evidence of the decade-long golden age stocks we’ve been living in. Since the disastrous days of ’08 and bottom carved in the Spring of ’09, equities have grown 343%. But not all companies have […]

Continue Reading

3 Smart Trades For A Troubled Market

3 Smart Trades For A Troubled Market

Try these options trades for high-odds profits in DIS, AMD and RUT Another trade war headline delivered another nasty market open. With volatility on the rise and overnight swoons in stock futures now the norm, the environment has turned treacherous for directional traders. If you’re seeking the best trades to weather the turmoil, I suggest […]

Continue Reading

3 Stocks To Buy As Fear Runs Amok

3 Stocks To Buy As Fear Runs Amok

Support is holding so far in DIS, FB and AMZN stock Fear has officially returned. So says the CBOE S&P 500 Volatility Index or VIX, which is spiking to its highest level since Jan. 4. Today we’ll provide context to the panic and identify three stocks to buy. At this morning’s peak of 23.38, the […]

Continue Reading

3 Stocks to Trade After Earnings

3 Stocks to Trade After Earnings

Earnings momentum is driving today’s trio higher The earnings wave rolled on this week. Some stocks were left battered in its wake while others were lifted to lofty heights. I’ve sifted through the winners and losers to discover the best stocks to buy. Today I’ll share my findings. When a company scores an outsized earnings […]

Continue Reading

3 Stocks On Shaky Ground

3 Stocks On Shaky Ground

These stocks are one well-placed banana peel away from breakdowns With equities flirting with all-time highs you might be wondering why today’s gallery is focusing on stocks to sell. The reason is that it’s not just a stock market, but a market of stocks. And there are both winners and losers in every environment — […]

Continue Reading

3 Stocks To Buy At New Yearly Highs

3 Stocks To Buy At New Yearly Highs

Buyers are dominating in CSCO, PYPL and VMW Stocks blasting to new highs usually come bearing gifts — for bulls, at least. If you’re a bear, then beware because these super-powered leaders pack a punch. And that makes them some of the best stocks to buy. I ran a quick scan last night for new […]

Continue Reading

3 Top Tech Stocks To Trade Right Now

3 Top Tech Stocks To Trade Right Now

The dip in tech is a buy — here’s why Large-cap tech stocks have led the great market rebound of 2019. Today we’ll look at three of the top stocks to trade in the sector. Chart watchers are detectives seeking clues. These signals reveal the path of least resistance for prices and enable traders to […]

Continue Reading

3 Bank Stocks Whacked Down By The Fed

3 Bank Stocks Whacked Down By The Fed

Here are two to avoid and one to buy Volatility seized Wall Street following Wednesday’s Fed announcement. But it was bank stocks that bore the brunt of the damage, which is unfortunate. Many of these money centers were just starting to emerge from well-established bases that could have supported their next up-leg. So much potential […]

Continue Reading

3 Coiled Spring Stocks Ready To Break Out

3 Coiled Spring Stocks Ready To Break Out

The kinetic energy is building in AMZN, NFLX and GS — but should you buy them? Directional trading almost always steals the show, but it’s volatility trading that captures the imagination. Viewing markets from a volatility perspective fosters new levels of understanding and, potentially, new opportunities. In today’s message, we’ll do just that, and we […]

Continue Reading

3 Ways To Trade The Bull Market For Gold Stocks

3 Ways To Trade The Bull Market For Gold Stocks

Here’s one directional bet and two cash flow plays to take to the bank A new bull was born in gold prices late last year. And since then fundamental and technical forces have combined to drive the yellow metal higher. Spectators looking to get in on the action in gold stocks will be happy to […]

Continue Reading

3 Leading Stocks To Buy On The Dip

| February 8, 2019 | 0 Comments
3 Leading Stocks To Buy On The Dip

High probability buy setups are forming in today’s trio. A rare down day is forming on the Street today amid widespread profit-taking. With equities experiencing their most significant drop in weeks, it’s worth surveying the landscape to spot the most attractive stocks to buy. Selloffs sport many silver linings, like the revelation of relative strength […]

Continue Reading

3 Retail Stocks To Buy As They Rise From The Ashes

| January 18, 2019 | 0 Comments
3 Retail Stocks To Buy As They Rise From The Ashes

BBBY, NKE and LULU stock are all flashing attractive setups The past month’s rousing market rally has been a rising tide lifting all boats. Every sector has participated in the broad-based boom, and some industries have even reclaimed all that was lost during December’s disaster. The action in retail stocks has been particularly strong with […]

Continue Reading

3 Tech Stocks On The Brink Of Breakdowns

| December 21, 2018 | 0 Comments
3 Tech Stocks On The Brink Of Breakdowns

Nvidia, Netflix and IBM are one accident away from severe breakdowns The extremely bearish reaction to yesterday’s Federal Reserve announcement has my inner short-seller itching for a trade. And it’s not as if there’s a shortage of downtrends to select from. Throw a dart, and you’re bound to find something limping into year-end. Today we’re focusing on […]

Continue Reading

Useful Guidelines For Credit Spread & Iron Condor Trading

| December 14, 2018 | 0 Comments
Useful Guidelines For Credit Spread & Iron Condor Trading

The stock market continues to fluctuate wildly, on Monday the Dow Jones went from being down 500 points to close positive. Today, it quickly erased a 350-point gain. But within these huge intraday swings, the market seems to be carving out a defined range. This creates a good opportunity for selling credit spreads in general and iron condors […]

Continue Reading

3 Bank Stocks Falling On Inverted-Yield-Curve Fears

| December 7, 2018 | 0 Comments
3 Bank Stocks Falling On Inverted-Yield-Curve Fears

Yield curve inversion is haunting these three bank stocks in particular The number of bogeymen haunting the Street is increasing. From tariffs and trade wars to crashing oil prices and a global economic slowdown, traders have a growing number of concerns to worry about. One of the new kids on the block that is making […]

Continue Reading

3 Tech Stocks To Buy As They Fight Tooth And Nail To Stay Afloat

| November 30, 2018 | 0 Comments
3 Tech Stocks To Buy As They Fight Tooth And Nail To Stay Afloat

These tech stocks aren’t going down without a fight Fear came to Wall Street this fall. From tariffs and trade wars to rising interest rates and a slowing economy, jittery investors have had a spate of negative news to worry about. Tech stocks bore the brunt of the damage with high growth, momentum names falling […]

Continue Reading

3 Video Game Stocks That Investors Are Turning Off

| November 14, 2018 | 0 Comments
3 Video Game Stocks That Investors Are Turning Off

EA, ATVI, and TTWO are all in trouble. Gaming stocks scored monster gains during our decade-long bull market. But with market jitters now coming home to roost, these high multiple growth stocks are finally receiving their comeuppance. The selling pressure came to a head last week when industry leader, Activision Blizzard (NASDAQ:ATVI), cratered 12% on disappointing earnings […]

Continue Reading

3 Relative Strength Stocks To Buy Now

| November 9, 2018 | 0 Comments
3 Relative Strength Stocks To Buy Now

These three stocks to buy stand out from the pack as bullish sentiment returns Wednesday’s market moonshot was a bear killer and that gives us a good reason to seek stocks to buy. We finally saw strength return to growth stocks as the Nasdaq Composite led the charge with a 3% gain that pulled the Index back […]

Continue Reading

3 Bank Stocks To Sell On This Bounce

| November 2, 2018 | 0 Comments
3 Bank Stocks To Sell On This Bounce

Bears are frolicking in the banking sector — join them! Beaten-down sectors are coming up for air, but their reprieve is bound to be short-lived. Or, at least, that’s what the price action suggests. Downtrends are full of sucker bounces peddling false hope. Take bank stocks for instance. Their trend is pointing lower, and this […]

Continue Reading

Constellation Brands Stock Is Rallying … More Gains Ahead

Constellation Brands Stock Is Rallying … More Gains Ahead

STZ stock has even greener days ahead. It has some redemption levels to hit from June. Constellation Brands (NYSE:STZ) reported earnings this morning and Wall Street liked what it’s saw. The company beat on the top and bottom lines and raised guidance. The stock is rallying 4% on the headline. The stock market in general is […]

Continue Reading

Under Armour Stock Is Sprinting Higher — Trade The Breakout

| September 28, 2018 | 0 Comments
Under Armour Stock Is Sprinting Higher — Trade The Breakout

It’s time to bet bullish on UAA stock ahead of next month’s quarterly earnings report Under Armour (NYSE:UAA) is about to sprint higher. Consumer-facing markets, like athletic apparel makers are benefiting from a strengthening U.S. economy. Both Lululemon Athletica (NASDAQ:LULU) and Nike (NYSE:NKE) have already reaped rewards from that strength in their quarterly reports. Next month, UAA stock will follow […]

Continue Reading

Kroger Stock: The Panic Selloff Is An Opportunity

| September 14, 2018 | 0 Comments
Kroger Stock: The Panic Selloff Is An Opportunity

Sellers are wrong to flee Kroger stock, as one report doesn’t break the whole story This morning Kroger (NYSE:KR) is falling 8% on its earnings report. Management hit most of its metrics except there were concerns over its top line and margin. Guidance was also disappointing. It is my opinion that this is an overreaction that is […]

Continue Reading

Don’t Be Scared Out Of Netflix — It Will Steal The Show Again

| September 7, 2018 | 0 Comments
Don’t Be Scared Out Of Netflix — It Will Steal The Show Again

The NFLX naysayers are wrong — this stock is still healthy and has better days ahead In spite of all the headline risks that looms over the stock market this year, the indices made new highs … but there have been a few exceptions, and Netflix (NASDAQ:NFLX) is one of them. This is a momentum stock, which […]

Continue Reading

The Market Is Wrong — Salesforce Stock Is Headed Higher

The Market Is Wrong — Salesforce Stock Is Headed Higher

Soft guidance on profitability is not a worry for the hyper-growth Salesforce In spite of worries over global tariff wars, the stock market made new highs this week. Momentum stocks are soaring and, most notably, Amazon (NASDAQ:AMZN) recently crossed $2000 per share. This morning, Salesforce (NYSE:CRM) is going the wrong way — down 3%  — as knee-jerk […]

Continue Reading

Apple Stock Is Ripe For The Picking

Apple Stock Is Ripe For The Picking

This AAPL bull call has BIG profit potential The eclipsing of a $1 trillion market cap has done little to deter hungry buyers from gobbling up Apple (NASDAQ:AAPL) shares. The tech titan is up 13% in the last month and shows few signs of slowing down. With momentum beneath its wings and a shallow pullback now formed, […]

Continue Reading

Alibaba Stock Is A Steal Before Earnings

| August 17, 2018 | 1 Comment
Alibaba Stock Is A Steal Before Earnings

Beaten down by U.S.-China trade war rhetoric, buy BABA stock before it soars on earnings It’s time for another earnings report from Chinese ecommerce behemoth Alibaba (NYSE:BABA). The company steps into the earnings fray next week, and BABA stock finds itself once again trading at multi-month lows. And, once again, this is a bullish opportunity […]

Continue Reading

A DIY Trade In Home Depot Stock For Easy Profits

A DIY Trade In Home Depot Stock For Easy Profits

Sellers of HD stock on this earnings report are wrong. Profit from their mistakes In 2018, we haven’t had too many chances to trade stocks based on their fundamentals. The earnings season, however, is one of the periods where we can actually concentrate on company profits and loss statements. Today, Home Depot (NYSE:HD) delivered a strong earnings […]

Continue Reading

There Is An Open House Sale On Zillow Stock

There Is An Open House Sale On Zillow Stock

Zillow stock bulls have lost their faith Zillow (NASDAQ:Z) stock had been lucky so far this year, up 36% year-to-date as of yesterday’s close. But last night management reported earnings and Wall Street hated what they saw. Investors sold the stock in droves. A one-day 20% dip is rarely a one-off event, so there could be more downside […]

Continue Reading

The Devastation In Facebook Stock Is The Perfect Long-Term Opportunity

The Devastation In Facebook Stock Is The Perfect Long-Term Opportunity

Regardless of management’s warnings, FB stock will shrug off these fears soon enough Last night Facebook (NASDAQ:FB) created its own dramatic headlines after management reported earnings. The message caused FB stock to fall 25%. Facebook lightly missed on Wall Street expectations, but the cautionary note on guidance from management was very bearish. So the selling is justified […]

Continue Reading

Go Long American Express Company On This Earnings Dip

Go Long American Express Company On This Earnings Dip

AXP earnings report was decent so this dip is an opportunity to go long 2018 has been a whipsaw year for equities. We had a market-wide correction that started in early February that was based on fundamentals. Investors panicked over rising rates. But since then, it has been a slew of headlines about global tariff […]

Continue Reading

The Dip In Nvidia Stock Is A Great Opportunity To Go Long

The Dip In Nvidia Stock Is A Great Opportunity To Go Long

NVDA stock gives us very few opportunities to buy 12% dips. This one won’t last long so it’s time to reload Recently investors have been on pins and needles over the headlines coming out of the White House regarding the potential global tariff wars. The bottom line is that we are getting mixed messages which […]

Continue Reading

Confidently Rush Into Comcast Corporation — Fears Are Overblown

Confidently Rush Into Comcast Corporation — Fears Are Overblown

Unreasonable fear sometimes creates great opportunities. This week we got one for Comcast. This week we saw an end to the saga of the merger of AT&T Inc. (NYSE:T) and Time Warner Inc (NYSE:TWX) when the judge finally approved the deal without any restrictions. This was the green light for other mergers to follow. Front and center is the […]

Continue Reading

This Yelp Inc Stock Trade Will Fetch Positive Reviews

This Yelp Inc Stock Trade Will Fetch Positive Reviews

One downgrade does not mean game over for YELP. Profit from the dip. Yelp Inc (NYSE:YELP) stock fell 5% yesterday at a time when the stock markets in general were making new all-time highs. We had high-flying companies breaking stock price records, so it’s disappointing when the one stock falls on such a bullish day. Nevertheless, […]

Continue Reading

Fade The Lowe’s Companies, Inc. Rally

Fade The Lowe’s Companies, Inc. Rally

After a 10% Ackman-driven rally, Lowe’s Companies is due for a reversal I believe it’s time to go short on Lowe’s Companies, Inc. (NYSE:LOW). This sentiment might surprise many readers. After all, LOW stock surged more than 10% following its first-quarter earnings report this week. But this rally won’t last. The reason lies in this week’s news. […]

Continue Reading

Add Walmart Inc Stock To Your Cart Before It’s Too Late

Add Walmart Inc Stock To Your Cart Before It’s Too Late

WMT stock is likely to begin retracing the correction it just had. Management is still on rails so go long before it is too late. Walmart Inc (NYSE:WMT) reported earnings this morning and after going mildly green, has now dropped more than 1%. While that is not great, it’s much better than the J. C. Penney Company Inc (NYSE:JCP) […]

Continue Reading

Alphabet Inc. Is An Easy Long From Here!

Alphabet Inc. Is An Easy Long From Here!

Going long big dips in quality stocks like GOOGL are great opportunities to generate income The stock market has had two 10% correction since the start of February. Investors were first spooked by the impression of runaway rates. The first bounce was sharp but it got thwarted when we got bombarded by a slew of […]

Continue Reading

Go Long Advanced Micro Devices, Inc. In A Red-Hot Sector

Go Long Advanced Micro Devices, Inc. In A Red-Hot Sector

You can go long AMD stock with confidence even now Experts see great things for the tech sector in 2018, and rightfully so. We live in a world that is becoming more dependent on technology at a fast pace and it will likely become exponential soon. So there is room for all suppliers to the […]

Continue Reading

3 Tech Giants To Trade With Complete Confidence Into 2018

| December 15, 2017 | 0 Comments
3 Tech Giants To Trade With Complete Confidence Into 2018

Use GOOGL, FB and AMZN to generate income with zero out-of-pocket expense Stocks have been on fire for months and the technology sector is a star. The high-profile FANG gang are up over 30% in 12 months. Markets have had periods of rotation in and out of the bunch, but in the long run, bulls […]

Continue Reading

3 Energy Stocks That Are Blazing A Trail

| December 8, 2017 | 0 Comments
3 Energy Stocks That Are Blazing A Trail

Major breakouts await in today’s oil trio. Here’s how to play them. The recovery in oil prices is lengthening its stride. The same can be said about the nascent rebound in energy stocks. All told, crude light is up 37% since bottoming mid-year at $42.05. Its trend is now pointing higher across all time frames. […]

Continue Reading

3 Of This Week’s Best Trades On The Street

| November 1, 2017 | 0 Comments
3 Of This Week’s Best Trades On The Street

Two breakouts and one pullback are waiting for you in the options trading pits With stocks continuing to skirt the stratosphere, finding lucrative opportunities is as easy as falling out of bed. Particularly for those engaged in options trading. If anything, earnings season provides more chances to discover actionable setups due to the elevated volatility. […]

Continue Reading

3 Of The BEST Trades On The Street

| October 25, 2017 | 0 Comments
3 Of The BEST Trades On The Street

Check out these three high-quality chart patterns Equities closed out last week with a bang. The large-cap-laden S&P 500 Index galloped to a new record closing high of $2,575.21. As the bull market beat rolls on, quality chart patterns continue to emerge. Opportunists on the lookout for the best trades each week have been treated to a […]

Continue Reading

2 Option Investments For An Expensive Market

| October 18, 2017 | 0 Comments
2 Option Investments For An Expensive Market

U.S. market valuations have now reached what they were in 1929, and are therefore the second highest in the country’s history. Only the Dotcom Bubble was higher. Currently:  The cyclically-adjusted price-to-earnings (CAPE) ratio of the S&P 500 is over 31. The average S&P 500 price-to-book value is 3.25, compared to only 2.00 in 2012. The […]

Continue Reading

4 Options Trading Strategies For FANG Stocks

| September 29, 2017 | 0 Comments
4 Options Trading Strategies For FANG Stocks

After a period of relative weakness, the FANGs are showing their teeth again No doubt, investors are aware the FANG market barometer has been rather toothless of late. But based on our chart work and using options spreads to improve one’s chances of success, there’s reason to be bullish on Facebook Inc (NASDAQ:FB), Amazon.com, Inc. (NASDAQ:AMZN), Netflix, Inc. (NASDAQ:NFLX) and Alphabet Inc(NASDAQ:GOOGL). […]

Continue Reading

3 Biotech Stocks That Are Just Getting Started

| September 22, 2017 | 0 Comments
3 Biotech Stocks That Are Just Getting Started

The recent dip in biotech stocks is ripe for a few trades The bull market beat rolls on this week with stocks hot right out of the gate Monday morning. While some sectors are pushing into overbought territory, others are just starting to run. Like biotech stocks, for instance. They’ve been leading for months now […]

Continue Reading

3 Stocks To Buy Boasting The Best Setups On The Street

| September 15, 2017 | 0 Comments
3 Stocks To Buy Boasting The Best Setups On The Street

Low-risk entries are beckoning in today’s trio of strong stocks After pausing last week, stocks were poised to jump right out of the gate Monday. And that has me eyeing quality bullish setups for the week ahead. Indeed, that’s always what chart watchers are on the lookout for when seeking stocks to buy. Low risk, […]

Continue Reading

4 Tech Stocks You Should “BITE” Into

4 Tech Stocks You Should “BITE” Into

Forget the FANGs, FAAMGs and other technology acronyms. If you want to profit from tech stocks, take a BITE. The technology world is filled with alphabet soup nowadays. Whether it’s FANG, FAANG, FAAMG or some other bowl, investors like clumping similar groups of tech stocks, typically for their hot performance. I’ve even got my own […]

Continue Reading

3 Energy Stocks Running Headlong Into Resistance

3 Energy Stocks Running Headlong Into Resistance

Low-risk setups are forming for bears in these energy stocks and ETFs Since being left for dead, crude oil has cobbled together quite the respectable rally. At $46.60, black gold has now rallied 11% off its 52-week lows over the past eight trading sessions. Color me impressed, particularly considering how hated oil was. Energy stocks […]

Continue Reading

3 Airline Stocks To Buy Before They Take Off

3 Airline Stocks To Buy Before They Take Off

Buy the dip in DAL, AAL and ALK for sky-high profits Last week’s mild bout of profit-taking was just what the doctor ordered for stocks in need of a breather. And, I might add, the list of overbought stocks needing a reprieve was quite large, what with so many big winners this year. Airline stocks […]

Continue Reading

7 Dogs Of The Dow To Trade Now For Income

7 Dogs Of The Dow To Trade Now For Income

Think the ‘Dogs of the Dow’ strategy is only good once a year? Think again, and check out these seven income-generating trades. The “Dogs of the Dow” investment strategy is typically a year-end/year-beginning phenomenon, but today I want to show you how this income-centric tactic can do wonders for you as we near 2017’s midway […]

Continue Reading

3 Metal Stocks Flashing Bright “Buy” Signals

| January 11, 2017 | 0 Comments
3 Metal Stocks Flashing Bright “Buy” Signals

A trio of solid setups await in the metal space After a short holiday break, the inflation trade is back, baby! Indeed, the turn of the year has been oh-so-helpful in reigniting demand for metal stocks across the board. For proof, look no further than the SPDR S&P Metals & Mining ETF (NYSEARCA:XME), which is […]

Continue Reading

A Guide To Conservative Income Producing Option Strategies For Dividend Stocks

| October 19, 2016 | 0 Comments
A Guide To Conservative Income Producing Option Strategies For Dividend Stocks

With interest rates at their lowest point in history, once safe income-producing assets such as 10- and 30-year Treasury bonds have seen their yields plunge to pitiful rates that are just high enough to keep up with inflation. And while high-quality, dividend growth blue chips such as Pfizer (PFE), Coca-Cola (KO), Procter & Gamble (PG), […]

Continue Reading

The Best Strategies For Binary Trading

The Best Strategies For Binary Trading

Binary options are a relatively new trading method which became popular after its approval by U.S. Securities and Exchange Commission in 2008. Binary options require users to predict the future price movement of an underlying asset and they can gain up to 80% profit based on the outcome of the trade. Users need to choose […]

Continue Reading

3 Safe Trades Leveraging The Market’s Biggest Trends

| June 15, 2016 | 0 Comments
3 Safe Trades Leveraging The Market’s Biggest Trends

While the market tests new highs, some stocks and ETFs seem destined to fall. These three contrarian plays make great trades right now, and could be some of your most profitable moves for all of 2016. Changes are coming in three major areas of the market, and being on the right side of these trends […]

Continue Reading

5 High Probability Options Trades For May

5 High Probability Options Trades For May

When I first started trading, I ignored the Dow Jones Industrial Average and its ETFs (DIA) because – after all – why would I limit myself to the 30 most popular stocks? But now, as an options trader, I find myself almost limited to those stocks that are most liquid. Because of this, I’ve looked […]

Continue Reading

3 Strategies For Shorting The Bursting Biotech Bubble

3 Strategies For Shorting The Bursting Biotech Bubble

Follow any of these three easy to understand, step-by-step strategies that detail exactly how any investor can profit from the collapse in biotech.  The biotech sector is a bursting bubble. Unfortunately, making money from a bursting bubble requires investors to go short on a stock. Shorting a stock exposes an investor to a theoretically infinite […]

Continue Reading

2 Options Strategies For Profits From A Hated Sector

2 Options Strategies For Profits From A Hated Sector

In response to a recent article I wrote on the Gold Trust ETF (GLD) some readers have asked my thoughts on gold miners. While my last article was more of a bullish thesis on gold from a fundamental perspective and offered a simple strategy of playing gold by buying GLD, this article on the Market […]

Continue Reading

Options Trading Strategies After The Fed Meeting

| December 18, 2015 | 0 Comments
Options Trading Strategies After The Fed Meeting

Options Trading Strategies After The Fed Meeting Well, we can pretty much shut down for the year now, right?  Arguably the biggest event of the year has come and gone, and it’s time for holiday vacation.  No, I’m not talking about the release of the new Star Wars movie, although that’s certainly a huge deal […]

Continue Reading

Options Trading Strategies For Oil

| December 11, 2015 | 0 Comments
Options Trading Strategies For Oil

Options Trading Strategies For Oil If you’ve been following the financial news lately, you’ve likely seen a lot of talk about oil.  This time however, it’s not because the price of crude is skyrocketing.  Instead, it’s because oil’s price per barrel has hit multi-year lows. In fact, West Texas Crude Oil is at the lowest […]

Continue Reading

Options Trading Strategies To Avoid For 2016

| December 4, 2015 | 0 Comments
Options Trading Strategies To Avoid For 2016

Options Trading Strategies To Avoid For 2016 Hard to believe but 2016 is right around the corner.  While the financial markets don’t really care what calendar year it is, we as investors tend to like to group market conditions by the year. For instance, 2015 will most likely be the year of tepid growth and […]

Continue Reading

Options Trading And The New Normal

| November 27, 2015 | 1 Comment
Options Trading And The New Normal

Options Trading And The New Normal As we approach the end of the year, we can start to piece together what kind of year it’s been for US stocks.  There are basically two different stories to tell in 2015. There was the August correction and subsequent rebound.  And, there’s been a whole bunch of range-bound […]

Continue Reading

Options Trading For The Holiday Season

| November 20, 2015 | 0 Comments
Options Trading For The Holiday Season

Options Trading For The Holiday Season It’s just a week away from Thanksgiving… hard to believe.  The unseasonably warm weather could be making us forget just how close the holidays are.  We’re that much closer to prime shopping season. The holiday shopping season is closely monitored by the investment world as well.  Many companies make […]

Continue Reading

Finding Value With Options Trading

| November 13, 2015 | 0 Comments
Finding Value With Options Trading

Finding Value With Options Trading There are many different reasons to invest in stocks.  For example, some buyers are looking for growth, others income.  Ultimately everyone is looking to make money… but how we get there is clearly open to interpretation. One popular method of investing is value investing.  That is, when investors look for […]

Continue Reading

Trading $NFLX Options

| October 16, 2015 | 0 Comments
Trading $NFLX Options

Trading $NFLX Options Typically, I like to write about general strategies for trading options.  I’ll choose some overarching topic, like using options to trade earnings, and write about broad-based strategies for doing so.  In something of a change for me, I’ve decided to start writing more often about trading options on specific stocks. There’s growing […]

Continue Reading

Options Trading Strategies For Earnings Season

| October 9, 2015 | 0 Comments
Options Trading Strategies For Earnings Season

Options Trading Strategies For Earnings Season Earnings season is once again upon us, creating opportunities for both large gains and large losses.  As a rule of thumb, individual stocks tend to react more significantly during earnings periods than other times of the year. The problem is figuring out which way a stock is going to […]

Continue Reading

Options Trading Strategies When Your Stock Is Down 5%

| October 2, 2015 | 0 Comments
Options Trading Strategies When Your Stock Is Down 5%

Options Trading Strategies When Your Stock Is Down 5% Market volatility has picked up considerably since the stock correction from late August.  The VIX, a popular method of measuring market volatility, has been trading above 20 for well over a month.  In comparison, the 200-day moving average is around 16. We’re essentially seeing volatility levels […]

Continue Reading

Using The Option Straddle

| February 6, 2015 | 0 Comments
Using The Option Straddle

Using The Option Straddle Every earnings season I get questions about what option strategy to use. I hear things like, “What’s the best strategy to use to play earnings?” or “How do I use options to make money on earnings?” With options, there are always several right answers. However, for new traders, I usually recommend […]

Continue Reading

Should You Be Trading VXX?

| January 30, 2015 | 1 Comment
Should You Be Trading VXX?

One of the primary themes I like to discuss on this site is volatility. After all, you shouldn’t be trading options if you don’t at least have a basic understanding of why volatility is important to the financial markets.

Continue Reading

Reverse Iron Butterfly Spread

| April 20, 2012 | 4 Comments
Reverse Iron Butterfly Spread

The reverse iron butterfly spread is a complex, debit spread strategy which benefits from movement in the underlying instrument.  It’s similar in concept to a short butterfly spread, except it’s a debit spread.  A trader profits from a reverse iron butterfly spread when the underlying stock rallies or sells off. A reverse iron butterfly spread […]

Continue Reading

Short Condor Spread

| April 19, 2012 | 0 Comments
Short Condor Spread

The short condor spread is a complex credit spread strategy which benefits from movement in the underlying instrument.  A trader profits from a short condor spread when the underlying stock rallies or sells off. A short condor spread is made up of four options trades at once.  It can be done with either all calls […]

Continue Reading

Short Straddle

| April 18, 2012 | 0 Comments
Short Straddle

A Short Straddle is a neutral options strategy which produces a profit when the underlying stock doesn’t move much up or down.  It’s essentially the opposite of a Long Straddle which profits when the underlying stock makes a big move up or down. So, if you think your stock is going to move sideways for […]

Continue Reading

Long Straddle

| April 16, 2012 | 0 Comments
Long Straddle

A Long Straddle is created by buying both a put and a call with the same terms.  In other words, you buy both a put and a call on the same underlying stock, with the same strike price, and the same expiration date. A straddle purchase allows the buyer to make big potential profits if […]

Continue Reading

Iron Butterfly Spread

| April 12, 2012 | 0 Comments
Iron Butterfly Spread

The iron butterfly spread is a complex, neutral, credit spread strategy, similar to a long butterfly spread.  A trader profits from an iron butterfly spread when the underlying stock is stagnant or trades in a tight price range over the life of the spread. An iron butterfly spread is made up of four options trades […]

Continue Reading

Delta Neutral Trading

| April 10, 2012 | 0 Comments
Delta Neutral Trading

A delta neutral position is when two or more positions are used to establish a neutral market position.  A trader can apply a delta neutral position with stock and one or more options, OR two or more different options.  Whatever combination of securities used, the delta of the two securities offset each other so the […]

Continue Reading

Debit Spread

| April 5, 2012 | 0 Comments
Debit Spread

Debit spread is a term used to describe the direction cash flows when executing a spread trade. When the simultaneous buying and selling of options results in a cash outflow (debit) from your account it is called a debit spread.  In other words, the options you buy cost more than the options you sell. There […]

Continue Reading

Credit Spread

| April 3, 2012 | 0 Comments
Credit Spread

Credit spread is a term used to describe the direction cash flows when executing a spread trade. When the simultaneous buying and selling of options results in a cash inflow (credit) to your account, it is a called a credit spread.  In other words, the options you buy cost less than the options you sell. […]

Continue Reading

Buying Put Options, Buy Put Options, Long Put Option

| March 30, 2012 | 0 Comments
Buying Put Options, Buy Put Options, Long Put Option

Put buying is the opposite of buying a call. Here’s how it works… Buying a put is an option to sell a particular stock at a certain price for a limited period of time.  It’s a bearish position.  A put option increases in value as the price of the underlying stock goes down. There are […]

Continue Reading

Buying Call Options, Buy Call Options, Long Call Options

| March 28, 2012
Buying Call Options, Buy Call Options, Long Call Options

Call buying is the simplest and most common type of option investment. Here’s how it works… Buying a call is an option to buy a particular stock at a certain price for a limited period of time.  It’s a bullish position.  A call option increases in value as the price of the underlying stock goes […]

Continue Reading

Butterfly Spread

| March 26, 2012 | 0 Comments
Butterfly Spread

The butterfly spread is a neutral options strategy, also called the long butterfly spread.  A trader profits from a butterfly spread when the underlying stock is stagnant or trades in a tight price range over the life of the spread. A butterfly spread is made up of three options trades at once.  It can be […]

Continue Reading

Bullish Strategies, Bearish Strategies, Delta Neutral Strategies, Market Neutral Strategies

| March 22, 2012 | 0 Comments
Bullish Strategies, Bearish Strategies, Delta Neutral Strategies, Market Neutral Strategies

In this article, we’re going to take a look at four distinct options strategies.  We’ll cover bullish strategies, bearish strategies, delta neutral strategies, and market neutral strategies. Let’s get started… Bullish Option Strategies are used if you are of the opinion an asset will go up.  For example, if you think McDonalds (MCD) stock will […]

Continue Reading

Bear Call Spread

| March 20, 2012 | 0 Comments
Bear Call Spread

A bear call spread is a bearish options strategy.  You would use it only if you expect the underlying stock will drop in price. In a bear call spread, you buy a call option at a certain strike price and sell a call at a lower strike price.  Since a call with a lower strike […]

Continue Reading

Strangle Option Strategy

| February 28, 2012 | 0 Comments
Strangle Option Strategy

A strangle position is an options position created with puts and calls. Simply.. this position is a purchase of a call option and a purchase of a put option out-of-money around the current price on the underlying stock price. Here’s the thing… a long strangle is profitable with either a large move in volatility or […]

Continue Reading

Naked Put Writing

| December 8, 2011 | 0 Comments
Naked Put Writing

Writing uncovered puts is an advanced options strategy.  It  involves selling put options without owning any shares of the underlying stock. Like with any option selling… you collect a premium, putting money in your pocket. However, it’s important to remember when selling any options without their underlying stock positions, your losses are not limited. However, […]

Continue Reading

Naked Call Writing

| December 8, 2011 | 0 Comments
Naked Call Writing

First and foremost… naked call writing is the most dangerous strategy in the options market.  It leaves you (the seller) open to unlimited exposure. To begin… what’s a naked call option. In brief… A naked call option is an option that’s sold for a premium without owning the underlying security.  So, a naked call writing […]

Continue Reading

Covered Put Writing

| December 8, 2011 | 0 Comments
Covered Put Writing

To no surprise, a covered put is the exact opposite of a covered call. A covered call is the purchase of stock and the sale of a call option.  A covered put is the sale of stock (short stock) with the sale of a put option. Why would you put this type of position on? […]

Continue Reading

Covered Calls

| December 8, 2011 | 5 Comments
Covered Calls

Covered calls are involved in a strategy that combines a long stock position and a short call option. The call options are sold in equal amounts against the long underlying shares.  The strike price and expiration date of the calls can be chosen based on investment objective, market view and risk appetite. When you write […]

Continue Reading

Collar Position

| December 8, 2011 | 0 Comments
Collar Position

A collar position is a unique strategy.   It’s usually used with a long stock position to prevent risk over a certain time frame.  The collar is basically a covered call position with an extra long put. Take a quick look… You own 100 shares of Microsoft at $25 a share, and all of a sudden […]

Continue Reading

Calendar Call Spread

| December 8, 2011 | 0 Comments
Calendar Call Spread

Calendar call spreads, also known as long time spreads are advanced option strategies. This strategy involves buying a calls or put options.  It’s established by selling one option at a specific strike and month.  And buying another option with the same strike, but with a longer dated expiration month. It’s not as complicated as it […]

Continue Reading