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Over the 64 trades in the model portfolio – 71.88% were profitable.

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Nathan Bear Weekly Money Multiplier Service | Three trades I want this week

Sometimes the best trade is no trade.

Great traders set themselves apart with monk like discipline— the mastery of self.

Unlike a 9 to 5 job, there is no limit on how much you can earn in the stock market. However, just because the casino is open—doesn’t mean you should be.

In fact, the best traders are experts at sitting on their hands.

When I do decide to trade, I’m looking for setups like I had in ATVI… which caught a pop on the same day the Fed blessed the market with its interest rate announcement:

Patience paid nearly 90% on those call options!

And yet I hunger for more.

I’ve got my eyes set on three possible trades for next week. They include one of the most talked about ETN products, an often overlooked ETN, and one of the largest retailers in the world.

Contents

  • 1 XLP SPDR Consumer Staples
  • 2 VIX
  • 3 COSTCO (COST)
    • 3.1 Click here to join Weekly Money Multiplier

XLP SPDR Consumer Staples

The stock ‘safety trade’ continues to burn hot as investors seek yield from blue-chip stocks.

While this trade isn’t new, Friday’s close highlighted its strength.

XLP daily chart

Investors love to flee to large-cap stocks and their relatively safe cash flows.

Companies like Procter & Gamble (PG) don’t see the same declines as a Macy’s (M) when the economy retrenches.

Traders continue to pile into this stock, making it a pretty crowded trade.

However, I’m seeing a lot of things I like here.

First, the uptrend is as obvious as the sky is blue. The ETF rose unabated since the low in December 2018.

These companies continue to beat Q3 earnings estimates more than most other sectors.

Second, there’s a clear consolidation pattern forming. The swing high wicks all come in right around $61.55. This creates a resistance level for the ETF to bust through.

At the same time, there’s a series of higher lows forming.

These two pieces create a triangle pattern.

XLP daily chart

Lastly, price is experiencing a squeeze. That happens when the Bollinger Bands trade inside the Keltner channel.

I use Fibonacci extensions to determine my targets. Start by using the highest swing high and lowest swing low of the pattern. Then extend upwards 27.2% to get the first target.

VIX

The VIX itself is actually a tradeable instrument… just not as a stock.

Traders who want to play the VIX use options and futures to take positions.

I prefer the options. They work the same as they do for stocks with a few notable exceptions.

First, I need to point out that the VIX is mean-reverting. This means that over time, it goes back to its average.

Why does this happen?

The VIX measures expected volatility in the marketplace. Based on the history of the market, there is only so little or so much volatility that can reasonably be expected.

This leads price to move off extremes back to the average.

Because of this, you rarely see pricing in options at extreme low and high levels like you would for a stock.

However, that means you get a great risk-reward for the plays at extremes.

VIX daily chart

Futures have more leverage than I want to play with.

So, in-the-money options work well. They give me some extra leverage, but not as much as futures.

I’d look to go out a few weeks to a month to give myself enough time. This trade doesn’t necessarily pay out a ton. I’d be fine with a 25% gain on the options.

COSTCO (COST)

Sticking with the consumer staples, Costco’s stock looks amazing.


COST daily chart

The strong trend peaked out just above $306. While it made a series of lower highs, it also made a series of higher lows.

This creates a pressure on price that tends to make a violent move.

All of these create the ideal TPS setup in a strong stock.

But, the stock also benefits from the rotation into consumer staples.

I don’t have to worry about earnings since they reported last month. And, between now and Thanksgiving, there aren’t many data points that would derail the trend.

So I want to find an ideal entry.

I lean on the 8-period and 21-period exponential moving averages to draw out a buy-zone. This gives me a clear area that I can line up with the right timing.

Bollinger bands provide me with a stop out area. Otherwise, I lean towards recent lows.

As I mentioned earlier, I use the Fibonacci extensions to determine my targets.

Depending on the length of the squeeze, I’ll probably only go out a month at most for the expiration.

All of these combine to give me a good setup and great timing.

It’s not too late for you to join me for this week’s trading!

Click here to join Weekly Money Multiplier

Source: WeeklyMoneyMultiplier.com | Original Link

Author John GladstonPosted on November 3, 2019Categories Nathan BearTags charts, Dow Jones, ETFs, GS, Jeff Bishop Options Trading, Jeff Bishop Review, Jeff Bishop Weekly Money Multiplier, Jeff Bishop Weekly Money Multiplier Review, Jeff Bishop's Option Profit Nexus, Jeff Bishop's Option Profit Nexus Review, Jeff Bishop's Option Profit Nexus Reviews, Jeff Bishop's Option Profit Nexus Scam, Jeff Bishop's Options Guide to Riches Ebook, learn to trade options, markets, NASDAQ, Nathan Bear form Weekly Money Multiplier, Nathan Bear form Weekly Money Multiplier Picks, Nathan Bear form Weekly Money Multiplier Review, Nathan Bear form Weekly Money Multiplier Reviews, Nathan Bear form Weekly Money Multiplier Scam, Nathan Bear Weekly Money Multiplier, Nathan Bear Weekly Money Multiplier Complaints, Nathan Bear Weekly Money Multiplier Fraud, Nathan Bear Weekly Money Multiplier Price, Nathan Bear Weekly Money Multiplier Refund, Nathan Bear Weekly Money Multiplier Review, Nathan Bear Weekly Money Multiplier Reviews, Nathan Bear Weekly Money Multiplier Scam, Option Profit Nexus, Option Profit Nexus Login, Option Profit Nexus Results, Option Profit Nexus Review, Option Profit Nexus Reviews, Option Profit Nexus Scam, Option Profit Nexus Website, Option Rocket, Option Rocket Complaints, Option Rocket Fraud, Option Rocket Kyle Dennis, Option Rocket Login, Option Rocket Price, Option Rocket Real User Review, Option Rocket Refund, Option Rocket Review, Option Rocket Reviews, Option Rocket Scam, Option Rocket StockGumshoe, Option Rocket Trial, Option Rocket Website, option trading, option trading strategy, options, Options Guide to Riches, Options Guide to Riches Free, Options Rocket Kyle Dennis, Options Rocket login, Options Rocket Review, Options Rocket Reviews, Options Rocket Scam, Options Rocket User experience, Options Rocket user review, Options Rocket webinar, Options Rocket website, options trading, options trading newsletter, options trading strategies, options trading tips, options trading webinar, Options Vortex, Options Vortex Complaints, Options Vortex Fraud, Options Vortex Login, Options Vortex Performance, Options Vortex Program, Options Vortex Refund, Options Vortex Results, Options Vortex Review, Options Vortex Reviews, Options Vortex Scam, Options Vortex StockGumshoe, Options Vortex Website, Options War Room, Options War Room Price, Options War Room Review, Options War Room Reviews, Options War Room Scam, Options War Room Schedule, Options War RoomRefund, RagingBull Options Vortex, RagingBull Options Vortex Review, RagingBull Options Vortex Reviews, RagingBull Options Vortex Scam, Russell, S&P, SPX, SPY, squeeze, strategies, trading, understanding options trading, VIX, Weekly Money Multiplier, Weekly Money Multiplier Alert, Weekly Money Multiplier Complaints, Weekly Money Multiplier Discount, Weekly Money Multiplier Fraud, Weekly Money Multiplier login, Weekly Money Multiplier Real User Review, Weekly Money Multiplier Refund, Weekly Money Multiplier Review, Weekly Money Multiplier Reviews, Weekly Money Multiplier Scam, Weekly Money Multiplier Stockgumshoe, Weekly Money Multiplier Strategy, Weekly Money Multiplier Strategy Review, Weekly Money Multiplier Strategy Reviews, Weekly Money Multiplier Strategy Scam, Weekly Money Multiplier User Experience, Weekly Money Multiplier Website, WMM, WMM Alert

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