The Official Options Thread

[lane121]

TSLA looking overbought on the higher time frames and approaching the 200 on the weekly, (not sure how significant) but interesting to watch and see what it does around the 231 area

[Blazed]

Originally Posted by lane121

TSLA looking overbought on the higher time frames and approaching the 200 on the weekly, (not sure how significant) but interesting to watch and see what it does around the 231 area

I saw this too late.

Rejected right off it. Did you take it?

Nice trade if you did. 4 point move down.

[lane121]

Originally Posted by Blazed

I saw this too late.

Rejected right off it. Did you take it?

Nice trade if you did. 4 point move down.

I didn't, I'm still waiting on the transfer to settle lol I started looking around at some individuals though since the range was getting tight on SPX/SPY

[Blazed]

Originally Posted by lane121

I didn't, I'm still waiting on the transfer to settle lol I started looking around at some individuals though since the range was getting tight on SPX/SPY

Oh I see. Yeah, I like the 100 & 200 on higher time frames. Usually sold areas for bounces/rejects.

Those same averages are what I use for leaps when I go 6mo > a year out.

Lower time frames (day trading/weekly) 8 & 21

Nice catch on TSLA.

[lane121]

5490 SPX/547 SPY still holding up nicely atm

[Blazed]

I see we hit 5500...

Interesting movement in the market today.

Other than TSLA all the mega cap buying has been sus based on volume (today was all low volume again) and markets pushing up.

Meanwhile hedge funds are systematically selling and shorting mag 7 at record levels past few weeks.

Just watching for power hour.


This is from last week

Goldman Sachs just reported that hedge funds are aggressively offloading tech stocks at a rapid rate we haven't seen in years

June is already a record month

[Blazed]

Services PMI @ 9:45 and factory orders @ 10. Market closes early today.

SPX: 5500 key level is all I’m watching

Light size today and will only be playing the data momentum (if there is any).

Friday is NFP.

[lane121]

SPX top 5550, key level 5500, bottom 5450

Still no transfer yet so hopefully Friday- might have been a good day to sit out anyway and watch what we do with the short day.

Watching to see what GOOG does for a possible bounce at 185.86 based on the hourly chart in combination with the 8ema.

[Blazed]

Ok, not seeing anything I like so calling it a day here.

I do have an alert set for 5500 just to see if/when we hit it but won't take a trade.

Data came in bad (as expected), shows the economy isn't strong at all lol.

Originally Posted by Blazed

Took 2 -SPY250117P550 @ 1700

Added 2 more here. No stops, will let this play out. Either a win or go to $0


If Friday's premarket data doesn't give at least a 30 point move, I won't be trading.

[Blazed]

Originally Posted by lane121

SPX top 5550, key level 5500, bottom 5450

Still no transfer yet so hopefully Friday- might have been a good day to sit out anyway and watch what we do with the short day.

Watching to see what GOOG does for a possible bounce at 185.86 based on the hourly chart in combination with the 8ema.

Daily > hourly. Hourly all indicators are pointing down, daily shows the 5 @ 185.17. That would have been the bounce area for a potentially longer play.

I wasn't watching GOOG during data so not sure if you could have scalped it off the 20, but it looks like it blew past it.

[lane121]

Originally Posted by Blazed

Daily > hourly. Hourly all indicators are pointing down, daily shows the 5 @ 185.17. That would have been the bounce area for a potentially longer play.

I wasn't watching GOOG during data so not sure if you could have scalped it off the 20, but it looks like it blew past it.

Ah okay, I see, thanks Blazed! Daily 5/8 and hourly has been good for the 21. Still trying to pick up on the individuals, but I'm going to start journaling those as well to get comfortable and see if I can start identifying some patterns.

[Blazed]

Just saw BTC was down 20k... about a 28% drop, ouch. Took a nice drop after BTCETF's were approved near the top and people jumped in. Double ouch.

[Rbradleigh]

Originally Posted by Blazed

Just saw BTC was down 20k... about a 28% drop, ouch. Took a nice drop after BTCETF's were approved near the top and people jumped in. Double ouch.

Coinbase has it down to 54k from 64k a week ago. So 10k drop which is still a big but 16% not as bad as 28%.

Oof but over the past month from 71k to 54k which is closer to your 28% drop

If she can drop to 40k shift some money around to try a quick flip.

[Blazed]

Originally Posted by lane121

Ah okay, I see, thanks Blazed! Daily 5/8 and hourly has been good for the 21. Still trying to pick up on the individuals, but I'm going to start journaling those as well to get comfortable and see if I can start identifying some patterns.

Nice! Higher time frame longer trade.

Start with weekly > daily > and hourly for entry once you find your entry spot.

When SPX starts chopping or gets in a tight range I look at individuals and trade them too.

When you actually start trading them, go a month+ out if possible.

Can't trade individuals the same as SPX 0dtes.

[Blazed]

Originally Posted by Rbradleigh

Coinbase has it down to 54k from 64k a week ago. So 10k drop which is still a big but 16% not as bad as 28%.

Oof but over the past month from 71k to 54k which is closer to your 28% drop

If she can drop to 40k shift some money around to try a quick flip.

I was thinking the same thing 40 - 38 area.

Below 38, it's got some nice room down.

[lane121]

No trades today- not liking the volume or chop. The market will be there tomorrow though so no rush.

[lane121]

Powell speaks @ 10

SPX top 5650, key level 5600, bottom 5550

Mainly just watching ATR's today

QCOM, watching for a possible 204.50 - 205 bounce

[lane121]

Powell still speaking/answering questions (watching live for the first time lol), but there is so much chop @ 5583 ATR coupled with low volume. I was looking for a break of range, but probably gonna call it a day; we'll see what opportunities tomorrow offers.

[lane121]

What/when I traded: 15 SPY 557P contracts @ 12:11:05 (est)

Reason for entering trade:

SPX had closed below the 5601 ATR and had just fully closed below the whole psych 5600 on the 1 minute time frame. Additionally, SPY 15 minute candle was in overbought territory. Volume was low, though it was low all day so it looked like another potential slow grind up kind of day too. Buyers were more aggressive than sellers, which generally invalidates the trade, but with the whole psych + ATR nearby I thought it was a high probability trade for a reversal, even if it didn't pan out.

Exit plan:

Cut if SPX 5 minute candle closes above the 5601 ATR. If not, trim/sell at the 5586 SPX ATR.

Where I sold:

I ended up selling when the 5 minute 12:15 SPX candle closed above the 5601 ATR right around 5603. Total loss for the day $180.

I was patient with the 5600 level to hit and close below (I did not even think about getting in early with the low volume throughout the day, so that was a step in the right direction). Also, looking back, today was not the day to add more contracts. If anything, I should have done half my usual position with the low volume. Paid some tuition today, but back at it tomorrow!

[lane121]

SPX top 5700, key level 5650, bottom 5600

Watching AMD 188 area for a reject

[Blazed]

Just got power and cell service back on. Houston... energy capital of the world let a tropical storm bring it to it's knees lol.

I see I missed a lot of fun in the market the past several days.

Hopefully once the correction starts, is gonna be huge. Can't wait.

[Blazed]

Originally Posted by lane121

SPX top 5700, key level 5650, bottom 5600

Watching AMD 188 area for a reject

That was a nice reject

[lane121]

Lol, had 5 SPX 5655P when we got to the implied top and I sold for a loss today when we broke above 5655.

Contracts moved from 7.40 to closing at 40.40

Sticking with 2-3 SPY contracts daily for awhile until I really have it down. Then, I'll add and switch to SPX. Frustrating, but wasn't patient enough today on the entry, even though I was patient for the implied top. SPY 563.25 formed a great resistance level after I had gotten out- a good area to note for future days. Lots of mistakes this week so lots of work to put in this weekend. Back at it Monday.

[Blazed]

Originally Posted by lane121

Lol, had 5 SPX 5655P when we got to the implied top and I sold for a loss today when we broke above 5655.

Contracts moved from 7.40 to closing at 40.40

Sticking with 2-3 SPY contracts daily for awhile until I really have it down. Then, I'll add and switch to SPX. Frustrating, but wasn't patient enough today on the entry, even though I was patient for the implied top. SPY 563.25 formed a great resistance level after I had gotten out- a good area to note for future days. Lots of mistakes this week so lots of work to put in this weekend. Back at it Monday.

Oh no. 5655 was the top today that was a great entry.

I'll send a DM soon and we'll look at it.

Next week should be back to normal.

[Blazed]

Powell speaks @ noon. Still seeing sell signals on the daily and weekly that are currently being ignored by the market. Will keep watching these until the market gets back to normal conditions.

SPX 5650 key level / 5600 bottom (5592 support) *also watching 5576 if we get some nice selling before, during, or after Powell* / 5680 top (5690 resistance)

Watching:

SPY: no clear levels.

TSLA: 250/252 area bounce

DJT: 1 hour 21ema bounce (high risk)

NFLX earnings this week will be huge for the market. A lot of data this week too. Should be a huge week.