2. Targets Hit Here are two completed trades from Investment House Daily, offering insights into our trading strategy and the targets that we have hit this week: Tesla Inc. (NASDAQ: TSLA): This is a position that we had picked up and banked gains on previously. However, we still had part of the position. Since the setup was good, we let TSLA work into expiration week. The good pattern was a portent of good things things to come. Eventually, it was announced that TSLA would be added to the S&P 500. After the stock gapped up, we sold the remaining options for $99 and banked a 45% gain. Inmode Ltd. (NASDAQ: INMD): We entered INMD when it broke higher from a trading range on Oct. 8. At this point, we bought stock for $39.21 and some November $40 call options for $3.10. Then, INMD climbed and gapped upside on Oct. 13. After it made a quick run very early in the day, it reversed off of our target after just a few seconds. We figured that we would let it work, as it would rebound to the target. We even thought that it might move beyond the target. Instead, INMD formed a new base through October, and it was not until November that it rebounded. When it finally worked its way back to the target, we banked a 12% stock and a 35% option gain. While these gains were decent, the play shows that we got the move we needed. Even though it backed off from the target after just a few seconds, we should have banked some of the gains. There are always learning experiences in the market! Receive a risk-free trial to Investment House Daily and save 50% by clicking here now! Here are two completed trades from Technical Traders Alert, offering insights into our trading strategy and the targets that we have hit this week: Roku Inc. (NASDAQ: ROKU): ROKU consistently wins for us, and after a run to mid-October that made us money, it took a needed break and consolidated into early November. ROKU surged on the Pfizer vaccine announcement and then faded again. While it faded, it did not fall hard. After it held the 20-day moving average (MA), we put a play on the report and began watching for a new break higher. On Nov. 12, ROKU did move higher off of the 20-day EMA support. So, we bought January $230 call options for $25 when the stock price was $235.98. ROKU worked laterally and up the 20-day MA and surged upside on Thursday. As it hit our initial target, we banked half of the gains by selling the options for $38.70. This produced a 54% gain. Taiwan Semiconductor Mfg. Co. Ltd. (NYSE: TSM): Chip stocks are always important to the market. So, when many were testing their support in late August, we began looking for new plays. TSM was just one of the stocks we saw and played. It had come back to test the 50-day MA to close the month of August. We were watching for a move off of the 50-day MA and put a play on the list when TSM started to show signs of bouncing on Nov. 2. We entered on Nov. 3 and bought January $85 call options for $7.70. TSM rallied off of the 20-day EMA through that week and then tested the 20-day EMA the day after the Pfizer news. It then started back upside with a solid move. On Nov. 16, it gapped higher and hit our initial target -- largely due to more good vaccine news. We used that move to sell half of the position for $15.10. This enabled us to bank a 96% gain. Receive a risk-free trial to Technical Trader and save 50% by clicking here now! Here is one completed trade from the Success Trading Group, offering insights into our trading strategy and the target that we have hit this week: Cloudflare Inc. (NYSE: NET): While many cloud stocks struggled, even into the November rally, NET was one of the stocks that held its pattern through the struggles. Indeed, NET didn’t struggle. It rallied in early October, tested and then rallied into early November. It then tested again. On that November test, we saw a really nice doji tap of the 10-day EMA after a gap higher. This often indicates that the move is going to continue. When NET was up during the next session (Nov. 11), we bought stocks for $64.76. NET did move up, but the movement was back and forth. It also kept testing the 10-day EMA over the course of the week. This week, NET caught more of a bid, and even though its movement was still back and forth, NET hit our target on Friday. We then sold the position for $67.74 and banked a 4.6% gain. Now is a good time to become a member of the Success Trading Group. The system is geared towards bringing you consistent, short-term gains of 5-10% and you can expect four to six trades every month. To receive a risk-free trial and save 50%, click here now! |
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