Below is a weekly chart of Targa Resources Corp. (TRGP).
Trade: Over $45.20, consider buying stock and shorting Jan (1/19) $47 calls (42 DTE) for a limit of $44.15/share (gaining at least the closing mid-point of the call of $.95/share).
Technical Setup: Breakout on daily and weekly, higher low and Major Support monthly.
Option Strategy: Covered Call (CC).
Stop Loss: $44.90. Note: Earnings 2/13/18.
Below is a weekly chart of KeyCorp (KEY).
Trade: Over $19.78, consider buying Mar (3/16) $17 calls (98 DTE) for a limit of $3.05/share (paying no more than $.26/share time value). Note; Buying stock is okay also since a directional trade, but long calls provide limited risk and less buying power.
Technical Setup: Breakout on daily, weekly, and monthly.
Option Strategy: Long Calls (LC).
Stop Loss: $18.48. Note: Earnings 1/18/18.
Below is a monthly chart of Ferrari N.V. (RACE).
Trade: Under $103.90, consider shorting Jan (1/19) $110/120 bear call credit spread (42 DTE) for mid-point but limit of $1.05/share (closed at $1.15/share).
Technical Setup: Bearish consolidation after Breakdown daily, Climactic Sell Setup and bearish engulfing weekly, and Breakdown monthly. If it does not trigger, we will also monitor to enter on a stalled bounce.
Option Strategy: Bear Call Credit Spread (BCS).
Stop Loss: None.
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.
Adjustments and Comments on Open and Closed trades in Master Trader’s Weekly Options Trader. 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 in the Master Trader Option Strategies Series for Investors and Active Traders to generate wealth and income.
Description of Master Trader Directional and Income Option Trades can be seen HERE
Please Sign Up for Text Alert Service for Timely Trade Updates!
As a subscriber to the Master Trader’s Market Edge Advisory Letter, we would like to text you alerts for timely new trade opportunities and/or updates to open positions.
We are going to discontinue using the current text service and replace it with WhatsApp, which will allow our many subscribers all over the world to receive these alerts.
Please download the app on your phone if you want to take advantage of this service. You can read about the product at https://www.whatsapp.com/
Once downloaded, CLICK HERE to get the invitation to the “MasterTrader Advisory” Group. PLEASE DO NOT TEXT REPLIES HERE AS IT BROADCASTS TO ALL SUBSCRIBERS (instead, kindly e-mail dan@mastertrader with questions).
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 and adjustments since the spreadsheet updates immediately.
Happy trading! If you have any questions or comments, please e-mail Greg Capra at Greg@mastertrader.com or Dan Gibby at Dan@mastertrader.com
All the best,
Greg Capra
Managing Director of Master Trader
Pristine’s Founder and Creator of the Pristine Method
Dan Gibby
Chief Options Strategist
Follow Greg on Twitter, YouTube, and StockTwits to get real-time updates and education:
Twitter: @GregCapra
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NOTE: Master Trader will show opening and closing prices of all stock and option trades. We do not recommend proper share size for your particular trading style, risk tolerance, or account balance. We urge you to calculate your own share size based on your individualized risk parameters, Trading Plan, and familiarity with the proposed trade strategy and risk.
NOTE: Master Trader and its representatives might have existing positions in these and other trade recommendations before or after suggested herein. Additionally, we often manage them differently for internal purposes based on different risk parameters than noted herein.
