How to Analyze the Market Proactively and Objectively
Ifan Wei | Black RoomToday’s Black Room lesson is about learning how to analyze the market objectively, spotting divergence, and reading the multiple timeframes.Anyone can analyze a chart after the fact. Predicting is another matter altogether.
Continue Reading -->Hedge vs Strangle/Straddle | Options in Play
Options in PlayOptions Trades with Kurt CapraToday’s options market volatility created the perfect opportunity to discuss a hedge versus a strangle/straddle. Kurt Capra walks us through the differences and some recent examples.
Continue Reading -->Reviewing a Pro Gap/Pullback Combination on NCMI | Ifan Wei | Black Room
Ifan Wei | Black RoomToday’s Black Room lesson is brought to you by Ifan Wei. This video is a trade review of NCMI, a pro gap with a pullback entry. Ifan also addresses a more important issue – how can you find setups before they’re gone?
Continue Reading -->How ‘Rolling’ Options Positions Works in a Busy Market Like This
Options in PlayOptions Trades with Daniel DarrowThe past couple of weeks have been busy with a lot of profitable trade opportunities. Trade management has been key. This recent action brings up a good opportunity to revisit our rolling/trade management strategy. Watch the video to learn more:
Continue Reading -->Scott Redler: GOOGL Blasts to Record Highs
GOOGL’s done pretty well in the past few days with a big trip from $1085 this past month. I’ve been focused pretty heavily on it. This morning, I posted this chart saying that now it seems like it can see $1200+ if it gets and stays above $1185. As of 10:15 a.m ET, GOOGL is around $1196 and still looks good.FB has acted well since its power earnings gap. Yesterday it held the $194 area. If it continues, it seems like it will take out the $199.58 recent high to see $200+.Since we’re talking tech, let’s check out the QQQ’s. Today, let’s see if it holds $176. If not, it’s back to the choppiness.
Continue Reading -->Scott Redler: Breaking Down the Google Breakout
GOOGL’s done pretty well in the past few days with a quick trip from $1160ish up to the $1183 area. Let’s break down the levels along the way, In my Morning Note on Thursday, June 14, I said: “GOOGL had a decent move from last Friday’s low of $1125 back to a high of $1155.64 before retracing lower. I’d like to see it hold $1138ish. If it does, it could make another attempt to take out $1160 in the sessions ahead.” As you can see in the chart I made that day, it then put in a high at $1161:Then I wanted to see if $1150ish would hold. GOOGL Invested in JD, and I wanted to see if that could help GOOGL get and stay above the $1165 trendline:Then, GOOGL broke above $1170 — a nice little move. It actually closed at $1183.58 on Monday. As of Tuesday morning, I’m still long and I want to see the $1160 area hold. That would make it easier to stay in and possibly add if the market doesn’t fall apart.
Continue Reading -->Options Trade | GOOS Calendar Call Spread | Options in Play
Options in PlayOptions Trades with Daniel DarrowToday’s Options in Play lesson Daniel Darrow discusses an options trade using a Calendar Call Spread. Daniel reviews what attracted him to the trade and why he and Kurt closed out the entire position at once versus just closing out the short portion.
Continue Reading -->A Dropbox Full of Cash: DBX Breaks to New Highs After Clearing Important Levels
Dropbox (DBX) hit a record high Monday morning at $43.50. I sold my long into the strength, but let’s go back and reverse engineer the rally, level by level. Last Wednesday, I said this in my Morning Note: “DBX has had many false starts. We’ll see if this one is better. Bulls want it to continue above $31 and hold that level.” That $31 level was Tuesday’s high, as you can see on this chart:.. It managed to get above $31, touching $31.90. That made $34 – the IPO reaction high — a big spot to watch. Then I said: DBX was on the stronger side again yesterday. It had a decent Day #1 Tuesday and cleared $31 yesterday. There’s a big base, and if it can clear $31.90, there could be a real move to the post-IPO highs near $34.83. Now let’s look at the “After” chart: As you can see, DBX cut thorough $31 like a knife through butter on Wednesday. And on Thursday, it gapped above the descending trendline to pass the post-IPO highs near $34.83. As i write this, it’s over $36. Then on Monday, DBX opened up green and power higher. I sold my position into the morning strength.The stock hit a high of $43.50 – wow. The lesson: keep an eye on post-IPO highs and lows. They are very important pivots for judging action, and sometimes signal follow-through because they create F.O.M.O. (Fear of Missing Out) for traders that worry about getting left behind. P.S. For the first time ever, Scott’s teaching his unique method of game planning that could be your answer to trading frustration. And it’s going down live: Learn About the Active Trader Summit.
Continue Reading -->Dropbox Creates F.O.M.O., Teaches a Key Technical Analysis Lesson
Dropbox (DBX) is making a huge move today. Let’s reverse engineer the rally. On Wednesday, I said this in my Morning Note: “DBX has had many false starts. We’ll see if this one is better. Bulls want it to continue above $31 and hold that level.” That $31 level was Tuesday’s high, as you can see on this chart: .. It managed to get above $31, touching $31.90. That made $34 – the IPO reaction high — a big spot to watch. And today, I said : DBX was on the stronger side again yesterday. It had a decent Day #1 Tuesday and cleared $31 yesterday. There’s a big base, and if it can clear $31.90, there could be a real move to the post-IPO highs near $34.83. Now let’s look at the “After” chart: As you can see, DBX cut thorough $31 like a knife through butter on Wednesday. And today, it gapped above the descending trendline to pass the post-IPO highs near $34.83. As i write this, it’s over $36. The lesson: keep an eye on post-IPO highs and lows. They are very important pivots for judging action, and sometimes signal follow-through because they create F.O.M.O. (Fear of Missing Out) for traders that worry about getting left behind. P.S. For the first time ever, Scott’s teaching his unique method of game planning that could be your answer to trading frustration. And it’s going down live: Learn About the Active Trader Summit.
Continue Reading -->Can Tesla Drive Away to $360?
Tesla (TSLA) has been a real battleground stock lately. Last week it had a big day on volume, clearing $301 and then the $310 area. On Monday morning, I said “f it holds the $317 area, volume could come in to clear last week’s high.” Well, volume came in and it hit $354.66. Wow! It could use a few days off. But if it can flag above the $338 area and let the moving averages catch up, maybe it can take out $360.Facebook (FB) had a lot of news about privacy/data issues last week. It had a Red Dog Reversal around the 21 day on Friday. It got a nice push in the past few sessions. If it can hold the $192 area, perhaps it clears the $195 area. Tech was at new highs and then sold down a bit after the Fed with a small topping tail. QQQ hit a high of $177.14. We’ll see if we get more follow-down selling. As long as it holds the 8 day, it can stay special. P.S. For the first time ever, Scott’s teaching his unique method of game planning that could be your answer to trading frustration. And it’s going down live: Learn About the Active Trader Summit.
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