MTM Options Trader Newsletter - Are You Guessing Too Much as an Option Trader?

[image]() [image] This Week in the Market Stocks got hammered after the Federal Reserve revised their thought process on cutting interest rates in 2024. What looked like a potential 100 basis point cut is now a potential 50 basis point one. For now, the non-bearish sentiment seems to have changed with a non-bullish thought process taking its place but for how long? That question will most likely be answered possibly this week or very shortly after that. The S&P 500 is currently situated between its 50-day and 200-day moving averages. Talk about two potential support and resistance levels! Implied volatility levels as you might have guessed, rose sharply with last week’s selloff. Last week was crazy with the FOMC announcement but this coming week is no slouch too. There are several economic reports due out this week including consumer confidence and the latest GDP update. Most likely, volatility will continue with or without these reports but they certainly could add gas to the flame. Quarterly earnings continue to be slow but the next round is only a few weeks away. Have a safe, healthy and very robust weekend! Sep 26: Consumer Confidence Sep 27: Durable Goods Sep 28: Jobless Claims Sep 28: GDP Sep 29: Personal Income Sep 29: Advanced Trade in Goods [Read Our Blog](=) Are You Guessing Too Much as an Option Trader? If we are being honest, there is a lot of guessing when it comes to trading. As technical traders, our goal is to put the odds on our side. We know that if we do, we have a better chance of being successful. That said, there is still some luck involved pertaining to how the market moves and how the underlying position is affected. But sometimes traders can’t control themselves and are biased. Do you force your opinion on a stock or the [Continue Reading …](=) MTM Watchlist Here are a few trade ideas that we will most likely be looking at this coming week: SPY – Bear call spreads and bear put spreads did well late last week. Why stop now? More will be looked at this week too. META – We have done several iron condors over the last couple of weeks as the stock continues to hug its 50-day moving average. More will be modeled out this week too. NVDA – The stock is at a potential triple bottom area around the $405 area. If that area holds, bull put and bull call spreads will be considered. [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 - 2023. 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