2.7 Market Plan

Really just another boring day as we range trade until we get a news catalyst to move price around on SPY 0.00%↑ which might come tomorrow. The real focus today and coming into this week has been NVDA 0.00%↑

The stock has just been on a tear - incredible really and Aunt Nancy has timed it perfectly again. She’s so good at trading that she literally never misses, and she goes DITM with those calls almost every-single-time.

DITM works - they give you time to be right on a position and are effectively stock replacement with leverage. We use it in the DITM Alerts Portfolio for that reason = stock replacement + leverage.

It’s a good way to throw size at positions or to just structure a long/short portfolio with plain vanilla direction trades without the capital outlay and she does that all the time. But back to NVDA 0.00%↑ - that stock is just a tool for trading the flow on at this point and that’s what I did today. Sized up, trade it intraday and get out and I plan to keep doing that until it resets a lot lower.

Back in 2012-2016 you used to be able to do that with BKNG 0.00%↑ - the stock was so dollar expensive that you degenerate day traders never used it on your stock watch lists so it was usually the ETFS and other funds who were adding/reducing in it and you could see it on the order flow: for the record, that’s edge.

And we exploited it until the trading basically died out on it - you can see the options chain today, almost non-existent. But, that’s what NVDA 0.00%↑ is right now so it’s just on the list to keep trading and you can make A LOT just trading that.

Yet again, another reason to ditch the unusual call flow and black box nonsense these charlatans pitch you. Follow this one name until it’s done, literally - you can ring the register!

Moving on.

Starbucks - This has been in The Momentum Monitor and this morning I got long equity and calls. I was waiting on this name to get passed earnings and it did so today it finally got me in this and $100-$105 is a target. The news from protests is a bit overdone and since November of last year it’s just been beaten down so expecting us to price in a move into May earnings.

Tesla - This name has also been taken to the woodshed as of late and we’ve priced in the bad news plus the $170 area was a spot to watch for buyers which we got yesterday, then got again today. This could turn out to be a big trade if we can work through $190 - im long and plan to add above that.

Some Fed speakers tomorrow and a few other data points to come but that needs to drive price.

In The Premium Video Tonight I cover:

• S&P500, Nasdaq and Crude

• Recap on NVDA 0.00%↑ short and what’s next

• 2 Trade Ideas to Watch Tomorrow off The Open