MTM Options Trader Newsletter | Long-Dated Calls Still Work in This Market

[image]() [image] This Week in the Market The market is a relentless bullish beast as both Nasdaq and the S&P 500 set new record highs. The Dow continues to lag but still posted a positive gain for the short week. It really has been incredible to watch this market move higher despite many naysayers calling for a pullback. Certainly, there will be one, but the market was not interested this past week. Because of the all-time highs, a bullish to non-bearish bias on the overall market makes sense. But be careful because a pullback is coming. What we don’t know is when and to what extent. Implied volatility and option prices remain low with the VIX staying above $12 for now. Traders and investors will get back to a full week of trading after a holiday-shortened one. Economic reports are a little slower this week, but there are two big potential inflation numbers expected when CPI is released on Thursday and PPI on Friday. At the time of this writing, there was only one Federal Reserve speaker expected to talk. Quarterly earnings are starting to flow with a couple of financial institutions set to release their numbers late in the week. Have a safe, healthy and prosperous week! Jul 8: Consumer Credit Jul 10: Wholesale Inventories Jul 11: Jobless Claims Jul 11: Consumer Price Index Jul 11: Federal Budget Jul 12: Producer Price Index Jul 12: Consumer Sentiment [Read Our Blog](=) Long-Dated Calls Still Work in This Market Recently in MTM’s daily group coaching class, we talked about how bullish and resilient the market has been. Sure, it has pulled back at times, but eventually it has rallied and moved higher again. At the time of this writing, that is exactly what was happening. In class, we decided to consider buying a long call to capture the expected continued move higher. Further Out to Expiration Rather than a swing trade, which usually lasts less than a week, our plan was to hold on to the position. We decided to buy the October [Continue Reading …](=) MTM Watchlist Here are a few trade ideas we will most likely look at in MTM’s group coaching class this week: SPY – With the market trading at all-time highs, more bull call spreads and directional call butterflies and calendars will be looked at. V – A neutral calendar late last week worked out well with a resistance level around $270. Expect more neutral calendars and maybe some bear call spreads too. AAPL – The stock continues to work its way higher, and additional bull call spreads will not be out of the question this week. [image](=) The strategies in this newsletter are for educational and informative purposes only. All information disclosed in this newsletter should not be considered complete in its entirety. Market Taker Mentoring, Inc. will not be held responsible for changes, oversights, errors or omissions. Dates, prices, news and other information may not be accurate. Please verify all information before trading. You alone are responsible for your own investment decisions. Options involve risk and are not suitable for all investors. Before trading options, please read Characteristics and Risks of Standardized Option (ODD), which can be obtained from your broker; by emailing investorservices@theocc .com; or from The Options Clearing Corp., 125 S. Franklin St., Suite 1200, Chicago, IL 60606. No statement in this newsletter is intended to be a recommendation or solicitation to buy or sell any security or to provide investment or trading advice. Traders and investors considering options should consult a professional tax advisor as to how taxes may affect the outcome of contemplated options transactions. Copyright Market Taker Mentoring, Inc. 2008 - 2024. All rights reserved. Reproducing or redistributing this content is a violation of federal law. [image] If you do not wish to be contacted via email, you can unsubscribe using this link: [Unsubscribe]( Unsubscribing from email notifications DOES NOT cancel your class, subscription or recurring payments. We recommend that current students do not unsubscribe from email notifications. If you unsubscribe from email notifications, you will not be notified on how to access the classes or subscriptions in which you are enrolled. Market Taker Mentoring, Inc. PO Box 117 Frankfort, Illinois 60423 United States