Nathan Bear, Lead Technical Tactician, Monument Traders Alliance People are scared... bearish... and buying puts like crazy. Those are just some of the trends I'm seeing in the current markets. But the truth is... The stock market isn't doing anything it hasn't done before. And when it comes to finding mouth-watering trades amid the panic, it's all about finding the right symmetry. I'm going to show you exactly how to find that symmetry in today's video. The best part is... You don't have to be RIGHT with this strategy - you can make money no matter whether a stock goes up, down or sideways. Click the video below and I'll show you how it works. The video includes two timely trade ideas - so watch it ASAP. YOUR ACTION PLAN Here are the details on the S&P 500 (SPX) trade... Conditions to Be Met: The S&P would need to trade down into a range near 3,600 - plus or minus 20 points - for me to consider a "COVID Symmetry" entry. Trade: If that happens, I will sell an SPX October 14 put credit spread. I'd be looking to receive a credit of no less than $10 - the bigger the credit, the better. If you sell this spread as SPX is falling - preferably to $3,600 or below - then the credit received will be larger. Note that the October 14 expiration would be used only if the trade were filled this week. If the trade doesn't fill until next week, I'll go out to the following week's expiration, the October 21 series. Trade Plan: Since I'm selling a spread, time is on my side. I'd like to hold this trade and look for a bounce in SPX, but I'll enter a good-till-canceled order to buy the spread back at $2. As a stop, I would use a daily close under $3,550. However, I won't stop out on the same day I enter the spread. Complex trade, I know. But it's a smart trade, one that has made me big money in the past. And I'll break down more ideas like this in the future. If you have any questions about it or want me to cover other trade ideas in the future, send me an email at feedback@momumentradersalliance.com. Bonus Trade: Long play on Netflix... If the conditions above are met for the put credit spread on SPX, I'd also like to go long on Netflix (Nasdaq: NFLX). |
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