Market Tactics & Trade of the Week #22

Market Tactics & Trades – Volume 2, Issue 2 Market Tactics & Trade of the Week #22 Hello Friend, Further selling pressure got the week off to a cautious start for the market as bond yields pushed higher. The narrative over the weekend coming into this week was built around the Fed being behind the inflation curve that will trigger a faster end to QE, three or more rate hikes beginning in late spring and the need for the Fed to begin reducing its $9 billion balance sheet starting around July instead of year-end. This trifecta of hawkish fiscal policy pressured all 11 sectors early Monday before bond prices leveled out, yields ebbed lower and bargain hunters showed up. The bearish tape has played havoc with traders as inflation is seen as a persistent threat to business and consumer confidence. Energy and financials have demonstrated the best relative strength among all sectors as they are seen as the best hedges against higher rates and inflationary pressures as the economy expands. There are a lot of busted charts that need some near-term repair, one of them the S&P 500 that violated its 50-day moving average Monday. To its credit, the S&P has breached its 50—day three prior times in the past six months, only to recover and trade to new highs each time. But this was before the Fed changed from having a dovish posture to that of having their hawkish talons out.   Earnings season is around the corner. The latest estimate by the Atlanta Fed GDPNow is the economy grew at a 6.8% rate in the fourth quarter. If so, then the earnings season that begins this week with the big banks reporting on Friday could be full of upside surprises – if that holds, it could cushion the market a bit longer as long as the bond market doesn’t lose considerably more ground. Lower bond prices tend to result in the majority of stocks trading lower. Hence, it becomes ever more a stock picker’s market, which is where my system does its best work. This falls in line with where my favorite chart pattern is at in SPY. The Old Faithful is now in a slightly bullish leg of the pattern that could last a few days to as long as a month without doing a lot of damage to the pattern. The last leg is a much bigger sell that could see SPY drop into the 420’s. We’ll see what pans out. Patterns can always be overridden by fresh news events. Speaking of, the next FOMC meeting is slated for January 25 that will follow crucial inflation data due out this week with the release of CPI and PPI data as well as retail sales industrial production and consumer sentiment for December. A lot is riding in the inflation data showing signs of stabilization as expectations are tempered surrounding consumer sentiment and industrial production due to ongoing supply chain bottlenecks.  Advertisement Everyone knows things are not going to be business as usual in the markets this year. Changes are in the air. You know it. I know it. Everyone knows it. The problem is most everyone doesn’t know what to do in response to it. Do you stay invested and just ride it out? Do you pull out? Partially? Completely? What do you do? These questions are addressed in my “2022 Market Outlook and QTT Update” webinar. [Click Here to Watch Now]( You are going to come away with some great strategies on not only protecting yourself in the “new normal”, but how to prosper, even if stocks crater. You’ll Learn: How to Take Advantage of This Potential 1,000% Mover if Stocks Crash Strategy for Producing Consistent Weekly Income in Any Condition Which Markets to Diversify Into for Maximum Efficiency What to Expect in the Crypto Scene and How to Play Them How to Position Yourself for a 6-Figure Windfall How to Remain Invested With a Fraction of the Risk Exposure [Sign-up and the recording will be sent to you when you Click Here.](  Our mission is to provide high-probability income by pulling out as much premium as possible through a proprietary, time-decay-based Put Option strategy. We expect to "ride" these stocks time and time again until they can’t be ridden anymore. We are in the business of being on the other side of those fueled by greed where 90% of all long call and put options expire worthless. Our system is built on generating profits from that 90% of options trades that turn to vapor. My unique, limited risk approach of taking advantage of time decay creates scenarios where the stocks we place positions in can often drop more than 25%+ and still make money. Each week we’ll provide another trade to help diversify and keep capital working full-time. With each copy of the free weekly newsletter, I’ll provide a trade of the week that provides the exact entry details of the transaction. We’ll follow the life of each transaction in subsequent issues of the Market Tactics & Trades Newsletter. Our winning trades percentage has been better than 90% over the past two years. Sector Focus While the tech sector and other growth sectors take the brunt of the selling pressure this past two weeks, there are some sectors that are maintaining their bullish technical integrity that deserves traders’ attention for when the market reverses higher, even if just an oversold bounce. One of these sectors that have pulled back off its recent high and yet holding above its key short-term moving averages is the materials sector. After the infrastructure bill was passed and rotation into the cyclical sectors took hold, shares of the SPDR S&P Metals & Mining ETF (XME) have shown some luster for positive fund flows that give traders a play on demand for commodities and a hedge against inflation. Prices of aluminum, copper, gold, silver, steel, iron ore and specialty metals have all enjoyed strong pricing tailwinds during most of 2021 and the momentum looks to carry well into 2022 and the global economy reopens and economic activity picks up in a more uniform manner and not just in regional pockets. The top ten holdings in XME account for almost 47% of total assets and are an attractive way to play the sector that eliminates single stock risk.   From the chart of XME, a multi-month base has defined the price action that has paved the way for an upside breakout that would make for a very exciting uptrend to trade from the long side with multiple opportunities to sell option premium on any and all pullbacks.   Trade of the Week For this week’s stock pick and exact trade signals, please click on the button below:   There is no cost to accessing the details of this week’s trade.  Advertisement Everyone knows things are not going to be business as usual in the markets this year. Changes are in the air. You know it. I know it. Everyone knows it. The problem is most everyone doesn’t know what to do in response to it. Do you stay invested and just ride it out? Do you pull out? Partially? Completely? What do you do? These questions are addressed in my “2022 Market Outlook and QTT Update” webinar. [Click Here to Watch Now]( You are going to come away with some great strategies on not only protecting yourself in the “new normal”, but how to prosper, even if stocks crater. You’ll Learn: *How to Take Advantage of This Potential 1,000% Mover if Stocks Crash *Strategy for Producing Consistent Weekly Income in Any Condition *Which Markets to Diversify Into for Maximum Efficiency *What to Expect in the Crypto Scene and How to Play Them *How to Position Yourself for a 6-Figure Windfall *How to Remain Invested With a Fraction of the Risk Exposure [Sign-up and the recording will be sent to you when you Click Here.]( Closing Comments In our first abbreviated year of performance, Hyper Options scored a tremendous streak of profitable trades. Our members in Hyper Options rang the register consistently week-after-week where high-percentage profits are most probable by employing the same option trading practices used among professional options traders. Selling volatility in oversold stocks on a daily basis through put strategies is the number one focus of this service, and we are extremely good at it. Hyper Options is a one-of-a-kind trading service that is not just very affordable for the performance it delivers but is also extremely easy to manage. I do all the work, and members pour a cup of coffee and simply follow my instructions. Be serious about winning all the time in 2022 and make Hyper Options your go-to wealth-building system. I know you’ll be happy you did.  [Click Here to Subscribe to Hyper Options at a deep discount.]( Wishing you a good and profitable trading week ahead! Sent to: {EMAIL} [Unsubscribe]( Spyrol Group, LLC, PO Box 1510, Clearwater, Florida 33757, United States