Trader’s Digest: The 10 Stories We’re Reading Right Now
Wonder what traders are talking about today?We’re here with the top 10 stories we’re sharing with colleagues today, covering topics like:Why a top strategist thinks Bitcoin can hit $100K+How a expert trader builds his afternoon watch listFinding high-probability trades midday when the market is selling offAnd more!So check out these links right now and get up to speed:1) Bitcoin is ‘digital gold’ for millennials and could reach the ‘$100,000 range,’ says strategist Tom Lee (CNBC) Bitcoin is essentially “digital gold” for millennials, and the cryptocurrency could easily achieve the $100,000 range, Wall Street strategist Tom Lee told CNBC on Wednesday. The digital currency surpassed $10,000 on Tuesday and was approaching $11,000 Wednesday morning.Continue Reading ==>2) Goldman Warns Highest Valuations Since 1900 Mean Pain Is Coming (Bloomberg) A prolonged bull market across stocks, bonds and credit has left a measure of average valuation at the highest since 1900, a condition that at some point is going to translate into pain for investors, according to Goldman Sachs Group Inc.Continue Reading ==>3) How to Build an Afternoon Trading List (T3 Live) In this exclusive video, you can see how legendary trader Sami Abusaad builds his personal afternoon watch list.Watch the Video ==>4) Interview with Charlie Bilello of Pension Partners (All Star Charts) This week on the podcast we have Charlie Bilello, Chartered Market Technician and Director of Research at Pension Partners, LLC.Continued Reading ==>5) Finding Trade Setups with the Quant Edge Strategy (T3 Live) In this special video, Rob Smith, creator of the Quant Edge trading strategy, breaks down some relative strength plays amid a mid-day selloff. Watch the Video ==>6) If you love Amazon, then this high-flying stock could be a sure bet for 2018 (MarketWatch)Laying down his top predictions for 2018, this strategist says Tesla shares could nearly double to $600 next year and reach a market cap of $100 billion.Continue Reading ==>7) Why Bitcoin futures and a shoddy market structure pose problems (Financial Times) There’s a popular opinion in cryptoland that the launch of bitcoin futures by the CME in December will trigger an investing rush as institutional investors and hedge funds wade into the market in size. This in turn, the theory goes, will see the price zoom even higher.Continue Reading ==>8) 9 Ways to Destroy Your Account with Options (T3 Live) Options trading is fun. Options trading is sexy. And options trading can destroy your account if you don’t know what you’re doing.Continue Reading ==>9) Uber’s third-quarter net loss widens to $1.46 billion: source (Reuters) Uber Technologies Inc’s [UBER.UL] quarterly losses widened, a source familiar with the matter told Reuters on Tuesday, as the ride-hailing company wades through legal troubles and faces regulatory scrutiny across the globe.Continue Reading ==> 10) How to Launch a New Business in One Week (The Tim Ferriss Experiment/YouTube)
Continue Reading -->Black Room Afternoon List | Open House Training
Black Room-Building Your Afternoon List Watch Sami Abusaad review today’s list of stocks to trade.Then click here to join the open house this week. Watchlist Review with Sami Abusaad | Black Room Open House Day 2Onine Open House 11-27 to 12-1 How to Build an Afternoon Watchlist Watch this new video then register fot the live training. == > https://www.t3live.com/blog/t3-live-black-room-open-house/Posted by T3 Live on Tuesday, November 28, 2017
Continue Reading -->Black Room Game Planning | Open House Training 11-27-17
Black Room-Game Plan Video | 11-27-17 Watch Sami Abusaad review today’s list of stocks to trade.Then click here to join the open house this week.
Continue Reading -->Sentiment Report: Traders Still Happy with the Low Vol Grind
In last week’s sentiment report, I said “volatility is finally picking up!” And then it collapsed all over again as the post-election bull market raged on, with all major indices including the Russell 2000 breaking to new all-time highs. The VIX fell back under 10, and the bears are once again asking “is this low-volatility grind ever going to end? Traders were in a pretty decent mood before Thanksgiving, and they’re looking happier Friday morning with futures bid higher. So let’s take a fresh look at our sentiment indicators to see how traders are feeling on today’s Black Friday “holiday.” (click here for a primer on the sentiment indicators below) 1) VIX Spread – Bullish Last Wednesday, the VIX hit a 3-month high at 14.51. It’s around 9.85 Friday morning.. That’s extremely low by historical standards, but it’s become the new normal… at least since the summer. This gives us a 3-month spread of about +3.95, which means traders are very bullish. (click here for a primer on the VIX spread) 2) CNN Fear & Greed Index – Neutral The Fear & Greed Index is at 54, up slightly from 50 last week. This index operates on a 0-100 scale, so a reading of 54 is neutral. Before last Thursday’s big reversal higher, it was actually at 35. On October 6, it hit multi-year highs at 95, so it’s obviously come back down to earth. Funny — a lot of folks thought that 95 reading meant we were peaking. But markets kept pushing higher, showing how difficult it is to time tops and bottoms with sentiment indicators. 3) AAII Sentiment – Neutral The latest AAII Sentiment Survey shows that 35.5% of individual investors are bullish. This is up from last week’s 29.3% reading, but it’s still way off the 45.1% level from two weeks ago, which itself was the highest since since January 5, 2017. The long-term average is 38.5%, so a reading of 35.5% is basically neutral. 4) CBOE Equity Put-Call – Bullish The CBOE Equity-Put Call ratio was at 0.57 on Thursday, which is well below the 0.655 long-term average. The 10-day moving average is 0.629, which is below the long-term average. Both point to bullishness. Conclusion Out of 4 sentiment indicators, we have: 2 bullish (up from 1 last week) 2 neutral (flat) 0 bearish (down from 1 last week) The permabears are still saying that everone’s all-in bullish and 100% complacent… but the numbers point to moderate bullishness. If you want to see full-on 100% bullish insanity, go back to October 6 when I declared the following: Let’s not mince words: the bulls are clearly insane. They think they’re destined to ride into the sunset on a magic carpet made of cold hard cash. Of course, I hedged myself by adding that “the bulls may be insane… but they may also be right.” And they were right! The Russell 2000 shook off its cobwebs, tech picked up steam, and the bears got take to the woodshed. I suspect that with a few more days of upside, sentiment could go full on psycho bullish. And that’s not out of the question. Friday’s off to a great start already, and low trading volumes (due to the holiday) could exacerbate movement to the upside.
Continue Reading -->Chef Scott Redler Shares His Secret Turkey Recipe
Family + friends + food + football + fitness (say that 10 times quick!) makes Thanksgiving one of my favorite holidays. And believe it or not, I’m pretty handy in the kitchen. I cook like I trade, and I trade like I cook. I keep things simple, and I go with what works. I’ve been using this turkey recipe since my parents moved to Florida 14 years ago, and it’s what I’ll be serving my family on Thursday afternoon. Ingredients List Turkey 3-4 long celery sticks 2 sticks of butter 2 oranges 3-4 lemons 2 sticks of butter 4 whole onions 3 big hunks of garlic Salt Pepper Paprika Ms. Dash seasoning 1 can of pineapples 1 jar of orange or apricot jam The quantity of ingredients depends on the size of your turkey. Just scale up or down as you see fit. We usually get a frozen 20-pounder. And oh yeah — make sure you have a quality knife! It will make your life a lot easier. I’ll take the bird out of the freezer Monday morning so it will be defrosted by Wednesday evening, when I do my prep work. You know me. Whether I’m trading, running, or cooking, I never show up for battle unprepared. If you start getting things ready before Thanksgiving, you’ll get better results with less stress on Thanksgiving… just like in trading! I’ll dice up 4 whole onions and 3 big hunks of garlic, and toss them in a large bowl. I then add salt, pepper, paprika, some Mrs. Dash seasoning, and mix it all up. Then, I’ll stuff it into the turkey. I’ll also put half a can of pineapples in there, and jam a stick of butter right in the middle of all. Then, I pour some orange juice and lemon juice over the turkey skin — just enough to get it wet. In a separate bowl, I’ll mix up more salt, pepper, and paprika for the skin. I spread it all over, making sure to get in all the nooks and crevices. Don’t be cheap! Then, I’ll wrap the turkey in a big bag and leave it in the refrigerator overnight. On Thanksgiving morning, I’ll cut a few long celery sticks in half and put them on the bottom of the pan. Then, I take the turkey out of the bag and place it on the pan. There will be a lot of juice in the bag. Transfer it to the bottom of the pan, and be careful not to spill any. It’s a real pain to clean up! Then I’ll mix up more salt, pepper, and paprika, and sprinkle it on top of the turkey. Now it’s time to stick the bird in the oven. After an hour, start basting it every 15-20 minutes. Take juices from the cavity and squeeze it on top of the turkey. Also, rotate the pan every hour or so. It should take about 4 hours to cook. Just follow what your meat thermometer says. When there is about 20 minutes to go, pour a jar of orange or apricot jam in a bowl, and add a softened stick of butter to it. Mix it together, and brush the turkey with it. Stick the turkey back in, but keep a close eye on it. We want a nice crispy skin, but we don’t want to burn it. Once the turkey’s done, take it out and let it sit for an hour before you carve it. By the way, if you’re not experienced in the art of carving up a turkey, this video will help you get it right and impress your family: Delay your carving as long as you can — turkey tastes best just when it’s cut! If you give this recipe a shot, take a picture, post it on Twitter, and tag me (@reddogT3) so I can see it! Have a great week, and an even better Thanksgiving!
Continue Reading -->Sami Abusaad: Swing Trade Management in an Explosive Earnings Season
P.S. Earnings Season is still going strong. Be sure to check out this FREE Earnings Season resource: The Ultimate Guide to Trading Earnings Season ** In this special video, Nightly Game Plan Moderator Sami Abusaad walks you through his open swing trade positions so you can see how an expert trader manages an active trading portfolio. Sami goes through: A breakout/1-2-3 combination in American Outdoor Brands (AOBC) A climactic play in Newell Brands (NWL) Maiden Holdings (MHLD), which Sami is retargeting after a $5,449.09 profit two weeks ago The Weekly Sell Setup in Unisys (UIS) The Earnings Play in Twitter (TWTR) And MORE! By the way, have you seen last week’s video, which shows Sami’s actual account statements with $78,059.89 in profits since October 16? Watch it here: Watch this video and see: Sami’s $78,059.89 in total gains realized this earning season, which you can see in his actual online account statements The exact chart setup in MTSI that delivered a $4,506 profit in one day Another successful trade in Universal Corp. (UVV)
Continue Reading -->How to Fix Broken Trading
Are you too busy trying to be right to make any money… Once you understand, and USE this lesson, everything changes.If you’re like me, you word hard. Every day you scan hundreds of charts looking for money, and looking for the clues you missed. Clues that would have indicated “hold this trade longer,” “don’t take this trade,” that type of stuff.You believe if you find the answer THEN you will be profitable. I have news for you, I did that for years, and never found it.But I DID stumble into how to fix my inconsistency. It was practically an accident. I wanted to build a list of stocks to scan, my software required me to add shares to the portfolio, so I gave all 100 stocks 100 shares.Every day I logged in and scanned for ideas, completely ignoring the actual portfolio because I was only looking for setups.One day I noticed the portfolio was profitable. There were A LOT of losing trades, but the aggregate was profitable. I sat up and said, “huh, that’s interesting.”Normally I would find a few stocks to trade. If they met my criteria I would cherry -pick which ones I believed would be good trades.After my discovery, I tried something different, I traded every stock in my list, for 100 shares, with real money. When I got a signal, I entered without hesitating.No second-guessing, just enter them all.A funny thing happened. When I released myself from “being right,” and just let my edge do the work, trading became more profitable, AND LESS STRESSFUL. That was the day everything changed. Trading became fun again, and I finally felt like I could do this for a living. I no longer I felt like an impostor.Now I had control. The more trades I made, the more I earned. I was allowing my strategy to do the heavy lifting.Making this work of course, requires good trades, high-probability ideas. Now that you know HOW to fix broken trading, I’d like to ask you to give us 30 days.Give us 30 days to find your next $1,000.If you aren’t hitting your goals, if you’re trading is boom or bust, invest $7 for the next 30 days and get up to 200 high-probability trade ideas.Join the Daily Market Report with Jeff Cooper. Just $7 for the next 30 days. Get started here…
Continue Reading -->Volatility Returned. But Is There Any Fear Out There?
Volatility is finally picking up! The VIX hit 3-month highs on Wednesday, and we’ve had 4 down days in the last 6. And traders are finally starting to believe we’re on the verge of seeing the first real shakeup since the 2016 Presidential election. So let’s take a fresh look at our sentiment indicators to see how traders are feeling after the shakeup. (click here for a primer on the sentiment indicators below) 1) VIX Spread – Bullish As noted above, the VIX hit a 3-month high on Thursday. It’s since come back down towards 11 on Friday. This gives us a 3-month spread of about +3.60, which means traders are moderately bullish. As you can see in the chart below, the VIX may be breaking out above its depressed 50 day moving average the way it did in August: (click here for a primer on the VIX spread) 2) CNN Fear & Greed Index – Neutral The Fear & Greed Index is at 50. This index operates on a 0-100 scale, so a reading of 50 is perfectly neutral. Before Thursday’s big reversal, it was actually at 35. On October 6, it hit multi-year highs at 95, so it’s obviously come back down to earth. Funny — a lot of folks thought that 95 reading meant we were peaking. But markets kept pushing higher, showing how difficult it is to time market moves from sentiment indicators. 3) AAII Sentiment – Bearish. The latest AAII Sentiment Survey shows that 29.3% of individual investors are bullish. This is a major collapse from last week’s 45.1% level, which itself was the highest since since January 5, 2017. The long-term average is 38.5%. 4) CBOE Equity Put-Call – Neutral The CBOE Equity-Put Call ratio was at 0.64 on Thursday, slightly below the 0.655 long-term average. The 10-day moving average is 0.652, which is right in-line with the long-term average. So it doesn’t get more neutral than this. Conclusion Out of 4 sentiment indicators, we have: 1 bullish (down from 3 last week) 2 neutral (up from 1 last week) 1 bearish (up from 0 last week) The permabears are still saying that everone’s all-in bullish and 100% complacent… but the numbers tell another story. If you want to see full-on bullish insanity, go back to October 6 when I declared the following: “Let’s not mince words: the bulls are clearly insane. They think they’re destined to ride into the sunset on a magic carpet made of cold hard cash.” Of course, I hedged myself by adding that “the bulls may be insane… but they may also be right.” And the bulls were right, with the major indices continuing to march higher. Trader aren’t bearish. We all know that. But based on the numbers, it’s fair to call the crowd neutral. This is ultimately good for the bulls. The more doubt there is, the more potential upside firepower. In particular, if the Russell 2000 can stage a comeback, we could see a major spike in confidence… along with a major spike in price. Just remember, sentiment follows the action, which makes it awfully tricky to use to time trades. Plus, sentiment can stay at extreme levels for far longer than you think is reasonable. So always use this information as color — not as specific buy/sell signals.
Continue Reading -->Did Rolling Stone Jinx Tesla with the Magazine Cover Indicator?
So at 10:45 a.m. yesterday, I got an email with the subject line “The Most Important Person of Our Generation.” It came from Neil Strauss, author of the infamous pick-up artist memoir The Game: Penetrating the Secret Society of Pickup Artists: I know what you’re about to ask… And I can neither confirm nor deny that I read The Game. So, to whom was Neil referring as “The Most Important Person of Our Generation.”? Tesla (TSLA) CEO Elon Musk, whom Neil just profiled for a Rolling Stone cover story: Rolling Stone covers focus on entertainers, followed by politicians and athletes. I looked at hundreds of Rolling Stone covers going back to 1990 and I found exactly one CEO cover story… and it was about an even bigger tech icon. It was the October 27, 2011 issue commemorating Apple (AAPL) founder Steve Jobs, who had died 3 weeks earlier: Even in the late 1990’s dot-com boom, there wasn’t a single tech-focused Rolling Stone cover story, let alone a CEO story. And of course, this has me thinking about the magazine cover indicator. The magazine cover indicator says that a dramatic magazine cover story (typically a major business magazine like Fortune or BusinessWeek) can be a contrary indicator. The most famous example is BusinessWeek’s The Death of Equities cover in August 1979, which preceded the biggest bull market known to man. Chart from FinancialSense.com So did Rolling Stone ‘jinx’ Tesla? And the wider world of technology of stocks? Let’s see. In Neil Strauss email, he said he “spent the last nine months in and out of his world, working on this profile…” 9 months back from November 15 is February 15. Let’s assume that Rolling Stone spent a month before slating Musk for a cover story. In January, Tesla traded between $210.96 and $258.46. It hit $389.61 in September before pulling back to $312.49 when the story hit. Here’s what the stock chart looks like: Since Tesla’s at a bit of a crossroads now, only time will tell if Rolling Stone put in the ‘jinx.’ Or maybe I should put it another way. Only time will tell if Elon Musk marked a top in his ego — and by extension his Tesla/Solar City/Space X juggernaut — by agreeing to a Rolling Stone cover in the first place. So we’ll see. But what about technology overall? We know it’s been ripping since the election. But here’s a 20-year monthly chart of the S&P Technology ETF (XLK): Let me be clear: the magazine cover indicator should not be mixed up with actual science or rational analysis. It’s mostly valuable to permabears desperate for attention on Twitter. But I can’t help but ask: wouldn’t it be funny if tech topped out just as Rolling Stone broke tradition to put Elon Musk on the cover?
Continue Reading -->Trader’s Digest: The 10 Stories We’re Reading Right Now
Wonder what traders are talking about today?We’re here with the top 10 stories we’re sharing with colleagues today, covering topics like:Where the GOP Tax Plan standsWhy Target is collapsing aheadHow Sami Abusaad Made $72,867.08 During Earnings SeasonAnd more!So check out these links right now and get up to speed:1) Here’s Where the GOP Tax Plan Stands Right Now (Bloomberg) House leaders cleared the way for a Thursday vote on their tax-overhaul bill as Senate tax writers released a late-night draft that would make many individual breaks temporary and repeal a key part of the Obamacare law.Read the Story ==>2) Target shares sink as promotions darken holiday outlook (Reuters) Target Corp’s profit forecast for the key holiday quarter fell short of analyst expectations, sending its shares down nearly 10 percent, as the retailer continues to cut prices and invest in its delivery options to attract more customers.Read the Story ==>3) Sami Abusaad: How I Made $72,867.08 During Earnings Season (T3 Live) Sami made a profit of $5,449.09 in MHLD last week — a nice paycheck for 30 minutes of work. But this was just one of Sami’s great trades this earnings season. Watch the video and get a look at Sami’s actual account statements so you can see his $72,867.08 in total gains from this earnings season.Continued Reading ==>4) China is about to take the entire global economy for a wild ride (Business Insider) For now, Wall Street is wailing about a lack of volatility in global markets. Give it a few weeks, and that will all change. China is about to take us all for a wild ride. We’ve taken this ride at the end of every year since 2014, and all of the elements for a repeat are coming together.Continued Reading ==>5) Forex Outlook | EURUSD Breaks Resistance (T3 Live) In this special video, T3 Forex Strategist Kurt Capra take a live look at the EURUSD after it broke through resistance and triggered a pattern that could last into the end of the year.Continued Reading ==>6) A Record Number Of Investors Are Exposed To “Higher Than Normal Risk” (ValueWalk)With the stock market coming into November with another strong gain for the S&P 500 – the market was up for the statistically improbable 12th month in a row in October – investors are becoming aware of the increased risk exposure.Continue Reading ==>7) Snapchat’s New Test: Grow Like Facebook, Without the Baggage (T3 Live) In today’s social media industry, you essentially have two options: Die young, or live long enough to turn into Facebook. Snap, the parent company of Snapchat, appears to be headed down the latter path.Continue Reading ==>8) 7 Things to Know Before You Place Your First Options Trade (T3 Live) Today, we’re going to close out our Introduction to Options series with 7 key things you need to know before you place your first options trade.Continue Reading ==>9) Wall Street’s new bitcoin play: Square rises after saying it’s testing support of the cryptocurrency (CNBC) Traders have another potential stock play on bitcoin: Square. Jack Dorsey’s company is testing support for bitcoin through its Cash payments app.Continue Reading ==> 10) How to Become a Millionaire in 3 Years (Daniel Ally/YouTube) Learn how entrepreneur Daniel Ally became a millionaire at the age of 24. Watch this video and get Daniel’s 3 key principles for success:
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