MTM Options Trader Newsletter - Why Market Analysis Is Critical When Option Trading

[image]( [image] This Week in the Market All the major indexes closed lower last week, but at this point there may be no need to panic that a pullback is on the horizon. This market and especially Nasdaq have teased market participants in the past with several selloffs including those in the beginning of March and May. The S&P 500 looks to have at least some minor potential support around the 4,290 area. However, a breakthrough at that level could push the index lower and possibly test its 50-day moving average again, which is currently residing around the 4,240 level. Overall implied volatility levels remain relatively low, although the VIX spiked up a tad on Friday. The market may be waiting for more quarterly numbers to come out as the flow of releases continues to accelerate. NFLX is one of the most anticipated reports expected this week. As always, remember to check and confirm the expected earnings release before placing any trades. There are also a handful of economic reports due out this week including several housing numbers. Have a healthy, safe and prosperous week! Jul 20: Housing Starts Jul 22: Jobless Claims Jul 22: Existing Home Sales Jul 22: Leading Economic Indicators [Read Our Blog]( Why Market Analysis Is Critical When Trading Options It goes without saying that understanding options and various option strategies is crucial for an option trader, but market analysis is also critical in option trading. Smart traders and investors use diligent market research to get a better grasp of the market, which can give them an additional edge as an option trader. In group coaching class, I often talk about how essential it is for traders to take into consideration the overall market sentiment when choosing strategies. Personally, I weigh the overall market in at at least a third of my decision-making process when it comes to selecting option strategies. [Continue Reading ...]( MTM Watchlist Here are several trade ideas we will most likely talk about in group coaching class this week: JPM – The stock has been trading in a range and just announced earnings this past week. A bounce higher might be in the cards, and bull call and bull put spreads will be evaluated. NVDA – After moving lower in a big way the past several sessions, the stock might be ready for a bounce. Potential bull put spreads around the 50-day moving average will be explored. BYND – After dropping lower last week, additional bear put spreads need to be considered for this week with potential support nowhere to be found. [image] Dominate the Market This Earnings Season Are you ready to learn to spot bankable earnings trades, set them up with our easy-to-follow process and know exactly when to take them off to maximize your returns? Imagine... - No more missing out on $1,000s of revenue - No more sleepless nights worrying about "what you could have done" - No more grasping at straws, "trying stuff" to see what works If you want to finally have control, even in the craziest markets, this is the first step! You'll have everything you need and be fully supported throughout this program to take advantage of this complete Earnings Trading training package. Join today and get the Total Earnings Domination package for 93% off the regular price! [Start Now]( 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 calling (888) OPTIONS; 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 - 2021. 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. 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