Below is a daily chart of Harley-Davidson, Inc. (HOG).
Trade: Provided it opens under $50.60, consider shorting Jan (1/19) $52/56 bear call credit spread (16 DTE) for closing mid-point of $.33/share or better.
Technical Setup: Bearish Pro Gap under Major Support daily.
Option Strategy: Bear Call Credit Spread (BCS).
Stop Loss: $52.10.
Below is a daily chart of Overstock.com, Inc. (OSTK).
Trade: Consider shorting Jan (1/19) $55/50 Bull Put Credit Spread (16 DTE) for a limit of $.50/share (closed at $.47/share but extended and spready).
Technical Setup: Bullish +WRB from pullback after Bottoming Tail on r20-MA daily, bullish engulfing weekly.
Option Strategy: Bull Put Credit Spread (BPS). 107% Volatility makes for good credit spread trade.
Stop Loss: $57.88.
Below is a daily chart of DowDuPont Inc. (DWDP).
Trade: Consider shorting Jan (1/19) $72/69 Bull Put Credit Spread (16 DTE) for around closing mid-point of $.40/share (you can hopefully get price improvement on pull back).
Technical Setup: Bullish +WRB Breakout from consolidation above r20/50-MA daily, bullish weekly and monthly.
Option Strategy: Bull Put Credit Spread (BPS).
Stop Loss: None now. If trades under $72.00, consider shorting Jan (1/19) $73/76 Bear Call Credit Spread to convert to Iron Condor.
Below is a daily chart of Expedia, Inc. (EXPE).
Trade: Consider shorting Jan (1/19) $120/115 Bull Put Credit Spread (16 DTE) for around closing mid-point of $.47/share (you can hopefully get price improvement on pull back into gap).
Technical Setup: Bullish gap from consolidation daily, weekly and monthly major support.
Option Strategy: Bull Put Credit Spread (BPS).
Stop Loss: $120.00.
Below is a daily chart of PayPal Holdings, Inc. (PYPL).
Trade: Consider shorting Jan (1/19) $74/70 Bull Put Credit Spread (16 DTE) for around closing mid-point of $.42/share (you can hopefully get price improvement on intra-day pull back).
Technical Setup: +WRB from consolidation and converging r20/50-MA daily, bullish weekly.
Option Strategy: Bull Put Credit Spread (BPS).
Stop Loss: $74.04.
STOCK SWING TRADES
Below is a daily chart of Twitter, Inc. (TWTR).
Trade: Over $24.68, consider buying stock for swing trade.
Technical Setup: Pullback and consolidation above r20-MA after +WRB Breakout daily, bullish weekly and monthly.
Stop Loss: $23.84. Note: Earnings 2/7.
Miscellaneous Member Documents and Reminders:
Adjustments and Comments on Open and Closed trades in Master Trader’s Market Edge Advisory Letter. Note: Our Trade Updates are timely posted in a separate Report in the Member’s Area. Please CLICK HERE to see that document for a current reflection on all Open and Closed Trades since the spreadsheet updates immediately and will always be more current than this e-mail update.
Please see Master Trader Guidelines for Trading the Open and Gaps in Member’s Area for rules on trade entry, gaps, etc.
Below is a link to individual videos explaining in greater detail the definitions of the main option trading strategies used by Master Trader in its advisory letters to generate wealth and income.
Description of Master Trader Directional and Income Option Trades can be seen HERE
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Pristine’s Founder and Creator of the Pristine Method
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Chief Options Strategist
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