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Options

Trading Strategies

You Could Double Your Money (at Least) 10 Times Between Now and Just After the Election

As we've talked about before, the stock market can act as sort of a crystal ball for an impending U.S. presidential election.

I've done it, lots of independent analysts have done it, and you can see for yourself, too; we look at the three months leading up to an election to try and see if the incumbent resident at 1600 Pennsylvania Avenue NW will stay put, or be sent packing.

This analysis has shown that the S&P 500 can correctly answer that question 86.4% of the time – not bad.

Of course, these days, the markets are obviously undergoing a correction of some kind.

After a dynamite August, the big indexes – the Nasdaq, S&P 500, and the Dow – are down 10.7%, 9%, and 7.7% respectively, from their Sept. 2 intraday highs.

Normally, that might get an incumbent president in the mood to look for movers.

But this bearish trend isn't necessarily decisive because, if we know anything to be true, this is a year and an election unlike any other.

So the S&P 500's uncanny predictive powers might be a little weaker this year. I think, regardless of who the frontrunner or ultimate winner is, it's likely we'll see more downside between now and then.

This is a fantastic opportunity for anyone who trades (and if you never have, you can certainly start now). That's because, for us, extraordinary times mean extraordinary profit potential.

This is real once-in-a-lifetime stuff… Full Story

This is real once-in-a-lifetime stuff...

Options

The Perfect Options Strategy for Today's Volatile Markets

The stock market has been a very different place since setting all-time highs on Sept.

2.

Volatility has kicked up and we've seen a few days that could make us question the wisdom of remaining in the market.

The CBOE Volatility index has crept up to the high 20s in the last couple weeks.

Of course, that's nowhere near the nightmarish high of 82 we saw earlier in March with the COVID-19 crash.

But anything above 30 is considered high volatility under normal circumstances.

Read more...

Trading Strategies

Get In, Get Paid, Get Out in 24 Hours with This Options Strategy

Oh, boy… the honey badger. A small-ish, totally fearless, almost insanely vicious predator that's notorious for not giving a… you-know-what.

Honey badgers have been seen to take on – and kill – all kinds of animals, including plenty you'd have to be plain crazy to tangle with at its size.

Venomous cobras… lions… Cape buffalo… African "killer" honeybees… even people; the honey badger has taken them all on and walked away. It definitely deserves the catchphrase, "Honey badger don't care."

Who better to learn from as we become better traders?

This strategy will have you fearlessly targeting big, fast gains you might otherwise think you couldn't touch… Full Story

This strategy will have you fearlessly targeting big, fast gains you might otherwise think you couldn't touch...

Trading Strategies

The Secret to Getting Your Biggest Earnings Profits

We're a couple weeks into another unusual earnings season, with another month to go – and plenty more "earnings profit plays" for you to employ…

Now, I think most traders got the "shock" out of their systems last quarter, when companies announced some pretty weak numbers and, more than that, took guidance off the table for the foreseeable future.

This round, I imagine the reports will continue to be a mixed bag. The numbers could very well be better than last quarter overall – but I don't really need to bet one way or the other. The last thing I want to do is leave my hard-earned money at risk over a really uncertain outcome.

To be safe, investors can tighten up their trailing stops to prevent major losses from an earnings surprise. Like Intel Corp., falling 17% after announcing a delay in releasing new chips.

As traders, the best way to play earnings is to get in and get out before the "main event" – the earnings report itself.

Think of it like when a ticket scalper buys a block of tickets. Their tickets are much more valuable before the event actually begins. As soon as it starts, the value drops significantly. It's the same with an options contract.

When you do it right, you can double your money on earnings again and again – here's how it's done… Full Story

When you do it right, you can double your money on earnings again and again - here's how it's done...

Trading Strategies

The Best Way to Play the Most Important Earnings Season in History

In the history of the stock market, there has never been a better time to trade an earnings season than right now… and I have the tools to do it successfully.

It's a volume-tracking tool that can help you make back three months' worth of cash – in two weeks…

You see, the market is still facing incredible amounts of volatility. While some of the "too big to fail" companies like Norwegian Cruise Line Holdings and JC Penney are in jeopardy of closing doors and shutting off their lights for good, other companies are elbowing their way to the forefront.

For example, online medical care provider Teladoc Health and teleconferencing provider Zoom Video are a couple of the companies that are blowing second-quarter earnings reports out of the water.

In fact, the online work communications site Slack Technologies reported that the company was up 49% from the year prior.

In addition, online retailers like Amazon and Walmart are experiencing record sales and have hit all-time highs over the past few weeks. AMZN just reported that it is up 26% from the year prior on Q1 earnings.

The bottom line is that stocks are moving big time… and that means you can profit.

Once the true impact of the coronavirus on companies is revealed, big volume moves are sure to ensue – which means that a large number of stocks get bought or sold at once, creating high-probability, short-term opportunities to profit.

And now is the time to take advantage.

Now, I'm not talking about buying and holding stocks. Nor am I talking about shorting them.

I'm talking about trading options… Full Story

I'm talking about trading options... Full Story

Trading Strategies

Don't Be Scared of a Dropping Stock - Do This Instead

On Monday, Apple announced that it expects revenue to suffer this coming quarter – news that caused the stock to open a full 3% lower Tuesday morning.

And AAPL is just the beginning. Revenue across multiple industries is about to feel the effects of COVID-19, aka the coronavirus.

As the second-largest economy in the world, China produces over $25 trillion in products a year. Pick up any product on your desk right now – a stapler, a pen, even your keyboard – and it probably says those three little words, "Made in China."

But the country's economic growth has hit a major roadblock with the coronavirus.

As the pneumonia-like virus continues its rapid spread through China, revenue will suffer. Which, in turn, could pull stocks in world markets down drastically.

In fact, it already has…

But I'm not writing this to scare you. There's no reason to be fearful.

Today I'm going to show you the best way to deal with a dropping stock and protect your portfolio… Full Story

But there's no reason to be fearful. Today, Tom's going to show you the best way to deal with a dropping stock and protect your portfolio...

Trading Strategies

How to Bring a Losing Stock Back to Life with "Options CPR"

By now, you know that I love trading options. I've been doing it for nearly 30 years!

But the truth is I have nothing against straight stock positions. I even own a few myself as a way to diversify my portfolio.

However, most investors know that owning stocks comes with some high-risk possibilities – which is why I prefer to trade options.

In fact, just this month, one of my own stock positions took a major plunge.

But not all hope is lost. There's actually a low-cost way to use options to save your losing stock positions, and that's exactly what I want to show you today.

Here's how to use "options CPR" to fix a losing stock position...

Options

How to Manage Options Premiums to Maximize Your Profits

There's no question trading options is one of the best ways to multiply your returns from

the stock market. But it takes more than being right about the direction a stock is going to

move to have a profitable options trade. Today, we are going to tell you about one of the

most important ways you can look at options trades to be sure you get the biggest bang

for your investment bucks.

Read more here...

Options

Use Options Trading Basics to Make 100% Gains on This Seasonal Stock

Some stocks routinely rise and fall during the same time every year. Spotting these seasonal trends can make traders a fortune.

Money Morning Quantitative Specialist Chris Johnson has uncovered a stock that gets a lift every year around the holiday shopping season. And it's a stock you might not expect.

This chart tells the story, and setting up our seasonal options trade on it could net you a 100% gainer...