Big Bets Being Made for First Trading Day of the Year
What a time to make known your expectations for the year and that's what traders were doing today. Today's video looks at some of the large unusual option activity that is pointing to big moves this week, the next six months and the coming year. (F, TSLA, GLD, SLV, AAPL)…
The Ultima Income Generator Guide to Selling Options Part 2
I hope last week’s Part 1 blogpost led you to want to learn more about the Ultima Income Generator. If you missed it, you can click here to review the origin story of Ultima. Now that we understand the name and the person that developed it, let’s talk about selling options. Everyone Loves High Probability…
2022 a Premium Sellers Paradise?
SKEWtacular----SKEW 200 day moving avg 147.00!--back month skew higher--lower vol has brought higher skew--VIX takes a back seat Premium Selling Dynamics----realized vol vs Imp Vol--Lower Vol = Xmas Tree Spreads with VIX hedges--Higher Vol pure premium selling SPX Expected Move ----last week -- 72.40 (expected move)--next week-- 62.48
The Ultima Income Generator Guide to Selling Options Part 1
There has been a lot written on selling options to generate income and trade in a high probability fashion. However, there has never been an approach that adequately addresses the risks of selling nor approached it quantitatively like this. The Ultima Income Generator is unlike anything you’ve ever studied on the subject! The Ultima strategy…
The Rubber Band Trade for a New Year
You’ve probably heard the term, “what goes up, must come down.” That makes sense when gravity is considered, but what about asset prices? Is there a certain financial “gravity” that plays out for stock trades? Absolutely! For financial assets like stocks, valuation is something that will eventually impact the price either positively or negatively. If…
Tight Range Continues for End of Year Trades
In Tuesday's video we highlighted the chance of a pullback in the market and that's occurring in some key stocks while the broader market remains flat and rangebound for the final trading week of 2021. With one more day left to trade in 2021, what are we watching, what levels are important targets, and how…
Expected Move, Skew, and You!
It looks like we've been riding the upper edge of the expected move all week. So, what does that mean? Join Don in tonight's video as he explains how he defines what the expected move is from week to week and how you can apply it to your trades…
Which will it Be - The Pullback or the Drift Up? Your Action Plan for the end of 2021
We're seeing stocks at new highs and extended, ready for a pullback, but will that actually occur? And how can you hedge and take precaution if we instead get a low volume drift up to higher highs this week? In tonight's video we highlight the odds for a pullback and which stocks are leading the…
NVDA Sees Dark Cloud Cover Ahead
The Market failed to continue its advance today as it wilted following the initial opening exuberance. I'm not sure that it means we're heading down from here, but a number of stocks are in the process of forming Dark Cloud Cover candle formations today. The reversal is potentially more meaningful for these particular stocks. However,…
Santa Comes Strong with Best Start in 20 Years
If anyone was in doubt, Santa came to town today with the strongest start on the first day of a Santa Claus rally in 20 years. The numbers show that this could be a good end of year squeeze higher. Looking at today's option activity, it's clear who's at the top of Santa's list…