MTM Options Trader Newsletter - Too Much Is Not a Good Thing

[image](=) [image] This Week in the Market The market held its own as the short week of trading did little to deter stocks from moving higher. As we head into this week, a non-bearish bias still makes sense. Traders and investors should be cautious, however, as a healthy pullback could occur soon. The Dow, S&P 500 and Nasdaq are all pretty extended from their 50-day and 200-day moving averages. Implied volatility and option prices continue to drop with single digits being spotted on some of the index ETFs. We close out a very bullish November with a week loaded with Federal Reserve speakers and several economic reports, including the latest update to the GDP and consumer confidence. Volatility is expected to continue. Quarterly earnings are slow with few well-known companies expected to announce. Remember to make some time to review your trades and your trading plan. Have a safe, healthy and prosperous week! Nov 27: New Home Sales Nov 28: Consumer Confidence Nov 29: GDP Nov 29: US Trade Balance Nov 29: Beige Book Nov 30: Jobless Claims Nov 30: Personal Income and Spending Nov 30: Pending Home Sales Dec 1: Construction Spending [Read Our Blog]( Too Much Is Not a Good Thing About once a year in MTM’s Group Coaching class I go over common option trading mistakes and things to think about as an option trader. It’s a series of several presentations, and each contains five tidbits. There were two recently that inspired me to write this blog: having too many low risk/high reward trades and, just the opposite, having too many low reward/high risk trades. Don’t Overdo It With many things in life, too much of a good thing isn’t good at all. The same can be said [Continue Reading …](=) MTM Watchlist Here are a few trade ideas we will most likely explore in group coaching class this week: SPY – Bullish verticals did extremely well last week. With market conditions remaining the same, more can be expected. META – This stock continues to move higher with or without the market. Additional bull call spreads will be considered this week. JPM – Taking a look at the chart of the stock you can see how extended it is to the upside. Any potential bearish reversal symbol could prompt some bear calls and bear puts. [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