by Alpha | Aug 28, 2024 | Business, Discipline, Education, News Feed, Portfolio, Trading, Trading Psychology
Welcome to the latest edition of “Mastering the Markets,” your go-to weekly blog for all things related to options and futures trading. At SeekingOptions, we are dedicated to helping our members become disciplined traders with a strong focus on risk management. In this post, we’ll dive into the latest market trends, share expert tips, and provide actionable strategies to enhance your trading game. Let’s get started! #TradingTips #RiskManagement
Market Recap: The Week That Was
This week saw significant movements in both the options and futures markets. Here’s a quick recap:
- Options Market: The options market experienced heightened volatility due to geopolitical tensions and economic data releases. Traders saw increased premiums on both calls and puts, making it a lucrative week for those who played their cards right. #OptionsTrading
- Futures Market: The futures market was equally dynamic, with commodities like gold and crude oil showing significant price swings. The S&P 500 futures also saw a roller-coaster ride, reflecting the broader market sentiment. #Futures
Expert Tips: Staying Disciplined in Volatile Markets
Volatility can be both an opportunity and a risk. Here are some expert tips to help you stay disciplined:
- Stick to Your Trading Plan: It’s easy to get swayed by market movements, but sticking to your pre-defined trading plan is crucial. This includes setting entry and exit points, stop-loss levels, and position sizes. #Discipline
- Use Stop-Loss Orders: Always use stop-loss orders to protect your capital. This ensures that you exit a losing trade before it can do significant damage to your portfolio. #RiskManagement
- Diversify Your Portfolio: Don’t put all your eggs in one basket. Diversifying your trades across different assets can help mitigate risk. #Diversification
Strategy Spotlight: The Iron Condor
One of the most popular strategies among options traders is the Iron Condor. Here’s a quick overview:
- What is it?: The Iron Condor is a neutral strategy that involves selling an out-of-the-money call and put, while simultaneously buying a further out-of-the-money call and put.
- Why use it?: This strategy allows you to profit from low volatility, as it benefits from the premiums collected from selling the options.
- Risk Management: The maximum loss is limited to the difference between the strike prices of the calls or puts, minus the net premium received. #IronCondor #OptionsStrategy
Risk Management: The Cornerstone of Successful Trading
At SeekingOptions, we believe that risk management is the cornerstone of successful trading. Here are some key principles to keep in mind:
- Position Sizing: Never risk more than a small percentage of your trading capital on a single trade. This helps in managing losses and preserving capital for future opportunities. #PositionSizing
- Leverage Wisely: While leverage can amplify gains, it can also magnify losses. Use leverage cautiously and understand the risks involved. #Leverage
- Continuous Learning: The markets are constantly evolving, and so should your trading strategies. Stay updated with the latest trends, tools, and techniques to stay ahead of the curve. #ContinuousLearning
Tip of the Day
“Always Review Your Trades”: At the end of each trading day, take some time to review your trades. Analyze what went well and what didn’t. This practice helps in identifying patterns, refining strategies, and improving your decision-making process. Remember, every trade is a learning opportunity. #TradingTip #DailyReview
Conclusion
Thank you for joining us in this week’s edition of “Mastering the Markets.” We hope these insights and tips help you navigate the complex world of options and futures trading with greater confidence and discipline. Stay tuned for more weekly updates, and don’t forget to follow us on Twitter for real-time tips and market analysis. #TradingTips #RiskManagement #OptionsTrading #Futures
Happy Trading!
Feel free to share your thoughts and experiences in the comments below. Let’s build a community of disciplined and successful traders together! #TradingCommunity #SeekingOptions
Follow us on Twitter: @SeekingOptions for more updates and insights. #FollowUs #TradingInsights
SeekingOptions.com its partners and/or 3rd party affiliates are in open entry/closing positions in all of the above stocks, options, or other forms of equities. The trades provided in the above daily/weekly watchlist are simulations based on SeekingOptions oscillators strictly for educational purposes only, and not to solicit any stock , option or other form of equity. Under Section 202(a)(11)(A)-(E) of the Advisers Act this information is not considered investment or portfolio advisement from an authorized broker registered by the S.EC. (Securities Exchange Committee) and is limited to the scope of education in the form of market commentary through simulated trades via SeekingOptions.com indicators, and other educational tools.
U.S. Government Required Disclaimer – Commodity Futures Trading Commission Futures and Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don’t trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site. The past performance of any trading system or methodology is not necessarily indicative of future results.
CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
Use of any of this information is entirely at your own risk, for which SeekingOptions.com will not be liable. Neither we nor any third parties provide any warranty or guarantee as to the accuracy, timeliness, performance, completeness or suitability of the information and content found or offered in the material for any particular purpose. You acknowledge that such information and materials may contain inaccuracies or errors and we expressly exclude liability for any such inaccuracies or errors to the fullest extent permitted by law. All information exists for nothing other than entertainment and general educational purposes. We are not registered trading advisors. SeekingOptions.com is not a registered investment Advisor or Broker/Dealer. TRADE AT YOUR OWN RISK
by Alpha | May 13, 2020 | Market Update, RQLAB
SPX
The following “micro” extensions are standard and apply for SPX (MPlink): -2.618 at 2798 followed by -2.764 at 2789.7 and -3.618 at 2741.4. These extensions are “within” an abc down that has standard extension at 2759.2 (Alt10link).
Upper support for the index is at 2835/2833; that is the line that needs to break to ignite acceleration down to lower extensions, without a break below this line, it is not correct to assume an over bearish stance.
Some stocks that might deeper pullbacks:
NVDA, immediate support is at 297, support off March lows is at 244. If a trade is done against support at 297, I would use a max stop loss at 289 (Alt10link).
OKTA, support is now at 151/147 a wide stop loss for initial positions could be 142 (MPlink).
PYPL, support is now at 109 (MPlink). A higher high above 147.59 will lead us to repurchase with stops at 138 in case we are wrong.
TWLO, consider TWLO could be included in the list of deeper pullbacks needed but in order to make such assumption needs to break below 180, contrary case, if it breaks out above 197 then 179 becomes stop loss and TWLO could make a move to 225/244 (Bigalowlink)
CDNS, for a major retrace to main support to 63/60 CDNS needs to break support at 78.56 followed by moves below 76, for now we have stops at 78 but will update stops to 75 (Bigalowlink).
AMD, support at 50.77, below this line and could see a deeper retrace to 46. I dont intend to trade much AMD, I have not had clear sell signals on it so is a core holding for now.
Stocks with higher targets pending
SHOP, pending target to 792/782, upper support 732, next support at 685 (MPlink).
AMZN, pending target at 2800, support for AMZN at 2310/2284, below 2284 then an abc corrective move will target 2189 area (Alt10link).
AAPL, pending target to 325/342, support at 301/299 (Alt10link).
BYND, special case
Ideal target for BYND was 148/149, but today hit an average target at 145.48, the current micro count suggests that for as long as 127.75 line holds could continue extending to 150 probably (MPlink). Personally, I do not think 127.75 is seen for now, so probably will trade upper supports at 131/129.
As a note, the .618 of the high to the lows structure is 170, so while BYND still could continue extending to that line, this does not mean it is an impulsive price structure, at least for now.
Will talk about $FB and $AMD later. Check us in room
Good Luck..
Seeking Options Team – RQLAB Please email us if you want to be part of this group at [email protected]
Again we will give more detailed trade setups and targets, please check us our Chat Room..as low as 17 dollars.. check this link for options
SeekingOptions.com its partners and/or 3rd party affiliates are in open entry/closing positions in all of the above stocks, options, or other forms of equities. The trades provided in the above daily/weekly watchlist are simulations based on SeekingOptions oscillators strictly for educational purposes only, and not to solicit any stock , option or other form of equity. Under Section 202(a)(11)(A)-(E) of the Advisers Act this information is not considered investment or portfolio advisement from an authorized broker registered by the S.EC. (Securities Exchange Committee) and is limited to the scope of education in the form of market commentary through simulated trades via SeekingOptions.com indicators, and other educational tools.
U.S. Government Required Disclaimer – Commodity Futures Trading Commission Futures and Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don’t trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site. The past performance of any trading system or methodology is not necessarily indicative of future results.
CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
Use of any of this information is entirely at your own risk, for which SeekingOptions.com will not be liable. Neither we nor any third parties provide any warranty or guarantee as to the accuracy, timeliness, performance, completeness or suitability of the information and content found or offered in the material for any particular purpose. You acknowledge that such information and materials may contain inaccuracies or errors and we expressly exclude liability for any such inaccuracies or errors to the fullest extent permitted by law. All information exists for nothing other than entertainment and general educational purposes. We are not registered trading advisors. SeekingOptions.com is not a registered investment Advisor or Broker/Dealer. TRADE AT YOUR OWN RISK
by Alpha | Jul 3, 2019 | Market Update, RQLAB
FB
I had commented several times on $FB, expressing that while $FB holds above 184.63 the potential exists for new all time highs (MPlink) the risk reward on $FB is good and will be reviewing the price structure closely considering that pullbacks are opportunities for a decent target at 224. Positions here should be small to have the flexibility to adjust, the line at 184 should suffice for stops now.
IQ
Bottomed at the 1.382 extension. There is not enough structure for a 1-2 down since A subdivided in 3 waves down (OPlink) but a break below 13 should be bad, next support should come at 7 and breaking below 7, next support is 1.7, so for longs below 13 is not dependable.
For now the microstructure found support at .764 extension at 17.18 (OP2link), small positions here should be recommended for the long side, immediate stops at 17.
TSLA
We have been recommending $TSLA in our chat rooms, clear support now is 230, below 230 might test 218, below 218 probabilities for an impulsive move diminish and this bounce should be labeled as bearish (OPlink). .
Good Luck..
Seeking Options Team – RQLAB Please email us if you want to be part of this group at [email protected]
Again we will give more detailed trade setups and targets, please check us our Chat Room..as low as 15 dollars.. check this link for options
Access to the Trade of the Week Click Here
SeekingOptions.com its partners and/or 3rd party affiliates are in open entry/closing positions in all of the above stocks, options, or other forms of equities. The trades provided in the above daily/weekly watchlist are simulations based on SeekingOptions oscillators strictly for educational purposes only, and not to solicit any stock , option or other form of equity. Under Section 202(a)(11)(A)-(E) of the Advisers Act this information is not considered investment or portfolio advisement from an authorized broker registered by the S.EC. (Securities Exchange Committee) and is limited to the scope of education in the form of market commentary through simulated trades via SeekingOptions.com indicators, and other educational tools.
U.S. Government Required Disclaimer – Commodity Futures Trading Commission Futures and Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don’t trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site. The past performance of any trading system or methodology is not necessarily indicative of future results.
CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
Use of any of this information is entirely at your own risk, for which SeekingOptions.com will not be liable. Neither we nor any third parties provide any warranty or guarantee as to the accuracy, timeliness, performance, completeness or suitability of the information and content found or offered in the material for any particular purpose. You acknowledge that such information and materials may contain inaccuracies or errors and we expressly exclude liability for any such inaccuracies or errors to the fullest extent permitted by law. All information exists for nothing other than entertainment and general educational purposes. We are not registered trading advisors. SeekingOptions.com is not a registered investment Advisor or Broker/Dealer. TRADE AT YOUR OWN RISK
by Alpha | Jan 17, 2019 | Market Update, RQLAB
Support should be set at 2551
That the market finds a local top at this area should not come as surprise for us, maybe to the public, but not for us, our first average was 2613.34, our second average was 2623.07. Additionally other analyst, in this case, Bill, known as EL_hombre_Espantoso on EWT, adjusted his target to 2629 on January 10th. So a top in this area is factored by the masses.
On January 8th, I did mention that we were going to see more more charts from Avi Gilburt. Today Avi posted: For now, the market still has to break down below 2575/80 support to suggest we are in the [b] wave pullback. So you can observe Avi has set his support at 2570. I have attached his charts.
So you see Avi, has now his support at 2575. Well, similar to what we have done, we will try to refine even more this approximation. For this, while Avi has last line at 2575/80, we will set our support at 2551.8, the .618 retrace of the a/1-b/2 structure off the 2340 lows (Alt7link). This is just an adjustment of 23.2 points that we are doing based on the internals we track every day. Since we will be under Avi’s 2575 support we will direct our efforts to detect an impulsive move that confirms 2551 is holding, should that impulse develop we will buy our core positions at better prices. Should 2551.8 holds ideal targets should be 2751 or 2812.
I sent you the banks this morning. We are curious to see how FAS behaves when/if the markets hits 2551.8. This should spread some light. FAS holding 46 with SPX holding 2551.8 should make FAS buyable. Still would like IWM hits 146 before we start this decline to 2551.8 on SPX, IWM was truly close today at 145.25 so we could consider IWM has met targets too, but for all purpose 146 is still ideal. Not hitting 146 would be very strange and unusual.
by Alpha | Nov 26, 2018 | Market Update
Quick Market updates from Trading Room..
1. Weekly OSC is Bullish
2. Daily OSC is Dual Look Back Oversold.
3. A Daily low is near.
4. If Wednesday is a W.4 high as shown on the SPX chart, the ideal EOW-5 target is 2620.27-2607.09, the 127%-162% External Retracements.
5.What now clearly appears to be a five wave decline from the 11/7 high signals the higher time frame trend should be Bear, 11/7 should have completed a W.2 or B high, and any advance should be a correction in the higher time frame Bear trend.
6. An SPX close above 2641.28 signals a W.5 is complete and a 3-5 day corrective rally should follow.
7.The ideal setup will come in the day’s ahead following a corrective rally and a daily momentum BearRev for a continuation of the Bear trend to new lows.
For Further Details and market updates please check us in the room..
Thanks
Again we will give more detailed trade setups and targets, please check us our Chat Room..as low as 15 dollars.. check this link for options
Access to the Trade of the Week Click Here
SeekingOptions.com its partners and/or 3rd party affiliates are in open entry/closing positions in all of the above stocks, options, or other forms of equities. The trades provided in the above daily/weekly watchlist are simulations based on SeekingOptions oscillators strictly for educational purposes only, and not to solicit any stock , option or other form of equity. Under Section 202(a)(11)(A)-(E) of the Advisers Act this information is not considered investment or portfolio advisement from an authorized broker registered by the S.EC. (Securities Exchange Committee) and is limited to the scope of education in the form of market commentary through simulated trades via SeekingOptions.com indicators, and other educational tools.
U.S. Government Required Disclaimer – Commodity Futures Trading Commission Futures and Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don’t trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site. The past performance of any trading system or methodology is not necessarily indicative of future results.
CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
Use of any of this information is entirely at your own risk, for which SeekingOptions.com will not be liable. Neither we nor any third parties provide any warranty or guarantee as to the accuracy, timeliness, performance, completeness or suitability of the information and content found or offered in the material for any particular purpose. You acknowledge that such information and materials may contain inaccuracies or errors and we expressly exclude liability for any such inaccuracies or errors to the fullest extent permitted by law. All information exists for nothing other than entertainment and general educational purposes. We are not registered trading advisors. SeekingOptions.com is not a registered investment Advisor or Broker/Dealer. TRADE AT YOUR OWN RISK
