In Monday’s letter, I said: “There are other reference points below, but there is really no point to discuss them at this time until we get more information. I’ll mention one anyway: a 10% correction would put the Dow edging just under 24,000 and the next Major Support area below.” It just did it!
Thinking the unthinking keeps us open to other possibilities. Is there more in the bears’ tank to push prices lower? Of course, that is possible, but let’s review that in the video below.
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Our Option Strategies on Mini-Crashes
SPY crashes to support, we look to sell high volatility put spreads on bottoming stocks and indices.
With 100% IVR, we get paid hansomely for selling OTM puts for a very short time.
VIX rockets higher. When we get comfortable reversal in SPY, we also short out-of-the-money bear call spreads on volatility ETFs.
Perfect timing for this free webinar!!! Be sure to sign up and attend to learn detailed information on how to trade mini-crashes!
To learn more about trading volatility (long and short), check out our incredible seminar HERE:
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
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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.
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