General Trading

Do not fight the Fed. Play until the music stops but you get nimbler/up here at these levels. Play smaller/with hedges. all the impt CBs are going full blown QE again, you cant fight that. I am afraid there is NO cookie cut answer for this, it depends on your age, your risk tolerance - aggressive, balanced, or conservative. Old rule of thumb used to be have 100 - your age % in stock, but with people living longer the recommendation is leaning to have 110 - age or even 120 - age allocated in stocks. Read this article to get a better insight: https://www.thebalance.com/allocate-your-401k-money-2388534
Those strikes are cheaper now and stock may make a big upside move in the upcoming month strike may get closer to ATM or ITM (at the money or inside the money) giving big gains after an earnings/other events in between. If it does not happen you lose the premium. Its like a calculated guess/risk/ratio. Don't buy these far strikes for buying today and selling tomorrow. you may not be even sell the option position because the bid is lower than your purchase price even though the stock has gone up the next day.
They upgraded their stack life from 5 to 7 yrs. Why Is It Moving?: FuelCell Energy (FCEL): FuelCell Energy shares are trading higher after the company gave an update on the switch from five-year stack design to seven-year stack design. The stack life improvement was achieved with less than a 5% increase in the cost of the stack module
If 50 day moving avg. crosses 100 day and 200 day moving avg. it's a big bullish breakout scenario. eg: China internet ETF.
Means it went 1.03 up since market open at the time I posted it and has chance to go 17.7 price today
Its makes it or break it, but be ready to lose capital. So zm weekly 72 is lotto meaning am ready to lose all money with that call
The float is the number of shares actually available for trading. Float is calculated by subtracting closely held shares -- owned by insiders, employees, the company's Employee Stock Ownership Plan or other major long-term shareholders -- from the total shares outstanding
In finance, “FAANG” is an acronym that refers to the stocks of five prominent American technology companies: Facebook (FB), Amazon (AMZN), Apple (AAPL), Netflix (NFLX); and Alphabet (GOOG) (formerly known as Google).
  • ww = Worth Watching (put the chart on screen, if you see volume come in or if it breaking a resistant spot add)
  • UT = Up Trend
  • DT = Down Trend
  • LOD = Low of Day
  • HOD = High of day
  • SHOD = Stop high of day
  • SLOD = Stop low of day
  • H/S = Head and shoulders chart formation
  • SS = Short Sale (short the stock)
  • Pull = Stock sold off quickly
  • Rip = Stock going parabolic (pushing to the upside quickly)
  • Pop = Stock went up quickly, .15-.5 on a bid
  • Next Spot = Next resistance area on chart aka the chart has ROOM to this area, typically the chart will push up into the resistance spot if the volume is there. (always take some money into the spots)
  • Former = Former runner. Usually a .01-$10 stock that goes parabolic fairly quickly and has had a history of running up quickly
  • Keep on radar = put the chart up on side charts, watch for volume to come in
  • take some = take some profits (sell) or Cover
  • mm = Market Makers
  • b = Buy
  • s = Sell
  • pig = typically low floats or smaller stocks that move up in higher percentages because they get over crowded by retail buying on PR or MOMO
  • itm = in the money
  • R/R = Reward to Risk Ratio
  • + = Positive Note (relating to news or PR)
  • -= Negative Note (relating to news or PR)
  • d/g = Downgrade
  • u/g = Upgrade
  • Lotto = Options that expire that day and are usually out of the money, Risk to Zero
  • Weekly = This weeks Expiration
  • PTP = is a Ponytail Pimp: any unusual option flow mentioned and followed by one of the Najarian Bros on Fast Money Halftime
  • Trgt = price target on the position
  • Roll = Taking the profits form the last position on the name and buying a higher or lower strike
If 50 day moving avg. crosses 100 day and 200 day moving avg. it's a big bullish breakout scenario. eg: China internet ETF.
Day trading is the practice of buying and selling stocks in a short timeframe, typically a day. The goal is to earn a tiny profit on each trade and then compound those gains over time.
Pattern day trader is a FINRA designation for a stock market trader who executes four or more day trades in five business days in a margin account, provided the number of day trades are more than six percent of the customer's total trading activity for that same five-day period.
If you violate PDT no new positions can be entered (you can only close existing position) for next 90 days. you can do a PDT reset once every 90 days or 180 days

The customer has the following options:

Deposit funds to bring the account's equity up to the SEC required minimum of $25,000

Wait the required 90 day period before any new positions can be initiated

Request a PDT account reset

If you violate it will you get a 90 day ban or you can still do BTST within that 90 days. Then with multiple violations you could be in jeopardy of having your account closed.
The flag can be reset 1 time in 90 days . Call the broker and ask them to reset it. Some say 3 times per 90 days but as per FINRA rules its 1.
Swing trading is a speculative trading strategy in financial markets where a tradable asset is held for between one and several days in an effort to profit from price changes or 'swings'. Swing trading seeks to capitalize on the upward and downward “swings” in the price of a security. Traders hope to capture small moves within a larger overall trend. Swing traders aim to make a lot of small wins that add up to significant returns.
IBKR - from 4am, TDAmeritrade, Charles Schwab, E*Trade etc.

Tools

https://usethinkscript.com/threads/auto-pivot-points-support-resistance-indicator-for-thinkorswim.158/
  • You cannot trade options on last day 
  • Margin requirements are much higher 5 to 7 times when doing naked options sells.  
  • Bid/ask you can do a better spread on other brokers 1 cent wise vs robinhood forces for 5 cent min increment

Options Trading

For each type of trade I have a different goal. There is no one size fit all when it comes to options. Here my goal is to play increasing vol and hopefully delta. I am not trying to hold past earnings. I wanna sell before earnings when vol is highest. When we sell spreads we want not the absolute theta to be negative but derivative of theta to be highly negative. Meaning its rate of decrease is more important than just absolute theta.
Unusual options activity (UOA) many times is a ‘tell’, a signal that there is a likelihood of a potential large move in the underlying stock. This informed activity is usually initiated by hedge funds and institutional traders. These insiders will use the options market to make very large bets to profit on the leverage that options provide. Frequently they will use the options market to pre-position in advance of an impending news announcement, such as a takeover, that may not be public knowledge.
Rolling a lotto option. You enter a lotto call for that week friday expiration and run it go higher. But if you think stock may drop or has peaked you encashed the full gains and enter a higher strike for smaller premium. The point is you maximised your gains on initial lotto run and rolled over to the next one for next leg higher which is not sure sometimes
Example" Bought Amzn 2000 C Calendar spread 1/31 - 2/7 for $3.75
  • Covered Call
  • Married Put
  • Credit Spreads vs. Debit Spreads
  • Straddles
  • Strangles
  • Iron Condors
  • Butterfly Spreads

401K

Opinion 1: You cannot time the market; while you may think that sitting on the sidelines you're safeguarding your money but at the same time you may miss on any growth. Attempting to time the market is not advised, particularly for beginning investors. Here are the statistics even if you're not an active saver and say you put your money in SP500. You may even think about dollar cost averaging.

The S&P 500 Index originally began in 1926 as the "Composite Index" comprised of only 90 stocks. According to historical records, the average annual return since its inception in 1926 through 2018 is approximately 10%. The average annual return since adopting 500 stocks into the index in 1957 through 2018 is roughly 8% (7.96%).

Opinion 2: Good article on why to not sit out : https://theirrelevantinvestor.com/2020/01/08/gradual-improvements-redux/ recession will eventually come, but if you think this is it, you will continue to miss out on the gains.

Opinion 3: For those who fear the all the highs..it's better to do half bonds and half others.. just to give peace of mind.. u can get some positive side.. but still remain a bit ok with bonds.

Yes, it could. Reason? these are two far out of the money strike calls with low to no volume the % up or down are based on ask/bid which are very wide spread and last transaction that happened on that strike. For a thinner ask/bid spread you should trade on a lower strike.
What it means is find the point where it is supposed to cross the 100ema and set an alert on your trading platform. once the alert triggers you can put a market buy order. you cannot put a limit order in advance because it will buy immediately and support break many not happen and you will lose money from the first minute

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